Vox challenges 'ley de nietos' citizenship route
Vox has filed a complaint with the European Commission and plans to appeal to the Supreme Court against the 'ley de nietos', which grants nationality to descendants of Spanish exiles. The party claims the law has caused an irregular increase in the electoral census and has asked for electoral registration instructions. The legal challenge could disrupt the processing of applications under this citizenship pathway.
Non-residents must declare empty property in Spain
Non-resident property owners must file a tax declaration for imputed income (renta imputada) regardless of whether the home is rented, empty, or used occasionally, economist José María Páez warns. Many incorrectly believe no filing is required without rental income, but inaction can trigger fines. The obligation also extends to Spanish residents with second homes.
Banks tighten credit as Iran war hits loan demand
The Bank of Spain reported that banks tightened credit standards for home mortgages and business loans in the second quarter of 2026. Loan demand fell across both segments, partly due to the war in Iran. The central bank expects the tightening to continue in the third quarter. Foreign residents seeking mortgages or business financing may face stricter conditions and higher costs.
Bank of Spain: Payment fraud now top client risk
Payment fraud is now the top risk for banking clients, the Bank of Spain warns in its 2025 complaints report. Fraud-related complaints jumped 18% from the prior year. Banks paid out €6.8 million in settlements, with CaixaBank and BBVA receiving the most complaints. Total complaints fell 45% to 30,970, largely due to normalization after mortgage cost rulings.
Spain expands smoking ban to terraces, beaches, and festivals
The government has approved a new anti-tobacco law that bans smoking by minors and extends smoke-free zones to bar terraces, beaches, pools, and outdoor festivals. The legislation also covers e-cigarettes, vapes, heated tobacco, and nicotine pouches. The health minister expects annual healthcare savings of €100 million to €200 million.
Spain launches €4,500 electric car subsidy plan
The government activated the Auto+ plan, providing subsidies of up to €4,500 for the purchase of electric and hybrid vehicles. The plan has a €400 million budget and covers purchases made since January 2026. An additional €600 million was approved to help energy-intensive industries offset decarbonization costs.
Short-term sick leave jumps 154% in seven years
Short-term sick leave of up to three days rose 154% between 2017 and 2024, reaching 3.45 million cases last year. These absences now account for 40.2% of all sick leave and are a growing concern for employers. KPMG is calling for a national pact to address the issue. The trend could lead to policy changes affecting all workers.
Spain approves law to save €2.1 billion on medicines
The government approved a medicines law that aims to save €2.1 billion per year through faster drug negotiations and dynamic pricing for generics. It sets a 180-day limit for approving innovative drugs and grants prescribing powers to nurses and physiotherapists. The reform is designed to lower drug costs and improve healthcare access.
PP and Vox include 'national priority' in Valencian budget
The Valencian Parliament approved a 2026 budget of €33,305 million that includes the phrase 'prioridad nacional' for the first time in Spanish law. The agreement between PP and Vox marks a symbolic victory for Vox, which had long demanded the term. The move has limited immediate impact but signals a potential shift in regional politics.
Guadalajara wildfire becomes Spain's second worst on record
The wildfire in La Mierla, Guadalajara has burned 32,000 hectares, making it the second largest fire in Spanish history. The blaze remains uncontrolled and is surpassed only by the 2025 Larouco fire, which consumed 37,765 hectares. Other fires are also active in Teruel, Segovia, and Huelva. Residents in affected areas should monitor evacuation orders.