Pensions will rise by 2.7% in 2026

MadridContributory pensions will be increased by 2.7% starting January 1, 2026. The increase is calculated using the average Consumer Price Index (CPI) for the previous 12 months (between December 2024 and November of this year), so that the full increase in benefits will be applied once inflation is confirmed. The rise will affect the 10.4 million monthly benefits received by 9.4 million pensioners—it should be noted that nearly one million people receive more than one benefit. The 715,000 people receiving civil service pensions (mainly former civil servants) will also see their benefits increase by 2.7%. Since 2021, with the latest major reform of the pension system, benefits must be adjusted annually by law in accordance with the increase in the cost of living, to prevent beneficiaries from losing purchasing power. Retirement pensions, which make up the bulk of the system, will increase by an average of 572 euros per year. As for the other contributory pensions in the system, from disability pensions to survivor's and orphan's pensions, they will increase by an average of 498 euros annually. Therefore, according to the Ministry's calculations, the current average retirement pension (1,481.35 euros in 14 payments) will rise to 1,511.5 euros next year, an increase of 572 euros. Currently, the average contributory pension in the Social Security system is €1,316.70. This average includes the amounts of the different types of pensions (retirement, permanent disability, widow's/widower's, orphan's, and dependent's pensions).

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