Spain moves €309M from education to presidency for staff pay

Key facts

• Spain's government approved a €309.8 million budget transfer from the Ministry of Education to the Ministry of the Presidency, Justice and Parliamentary Relations.
• The funds are designated to cover staff costs, including payroll and social security contributions.
• The transfer occurs because Spain is operating under an extended 2023 budget.
• The Ministry of the Presidency has a high proportion of its budget allocated to staff costs.
• The specific education programs that will lose funding were not detailed in the decision.

Spain's government has approved a significant budget transfer of over €309.8 million from the Ministry of Education, Vocational Training and Sport to the Ministry of the Presidency, Justice and Relations with Parliament. The funds are earmarked to cover staff costs, including payroll, social security, and pay supplements for civil servants within the Presidency ministry.

This operation comes as the government continues to operate under the 2023 budget, having failed to pass a new budget for three financial years. This necessitates moving funds between departments to cover expenses not accounted for in the inherited budget items. The Ministry of the Presidency reportedly allocates more than 73% of its ordinary funds to staff costs, a figure that has been impacted by rising public-sector pay.

While the Ministry of Education has recently highlighted its efforts in boosting vocational training and securing European funds, this substantial administrative transfer means a significant sum is being diverted from its budget. The specific educational programs, such as grants, digitalization, or catch-up support, that will be affected by the loss of €310 million have not been detailed.

The Independent Authority for Fiscal Responsibility has previously cautioned that the absence of new budgets complicates economic planning and oversight. Critics argue that this decision creates a political vulnerability, highlighting a potential disconnect between the government's stated priority of public education and the practical budgetary decisions that benefit administrative functions.