The Ministry of Inclusion, Social Security and Migrations has announced that contributory pensions in Spain will be revalued by 2.7 % in 2026, based on the final Consumer Price Index (CPI) data for November.

This pension adjustment follows Law 21/2021, which links annual pension updates to the average year-on-year CPI between December of the previous year and November of the current year. The legislation stems from an agreement between the government and social partners and implements the 2nd Recommendation of the Toledo Pact on protecting the purchasing power of pensions.

Minister Elma Saiz emphasised that ensuring pensioners’ purchasing power is a fundamental right, and reiterated the government’s commitment to strengthening Spain’s social protection system, with particular focus on economic security for pensioners.

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Over 10.4 million contributory pensions are expected to increase by 2.7 % in 2026. What does the increase mean?

The 2.7 % rise will represent:

• About €570 more per year, on average, for those receiving the average retirement pension.
• Around €500 more per year, on average, across the contributory pension system.

In total, over 9.4 million people receiving 10.4 million contributory pensions will benefit from this update. The same CPI-based index will also update the 734,900 pensions under the State Passive Classes Regime.

For example, a pensioner receiving a monthly pension of €1,511.51 (the average retirement pension in 2025) will see it rise to €1,552.32 per month in 2026, an annual increase of €571.35.

The calculation method is established in Law 21/2021, which not only secures the purchasing power of pensions but also includes other measures to shore up the financial and social sustainability of the public pension system.