Spain’s Prime Minister Sánchez creates new Pensions Ministry

NOW that he has taken power officially, Spanish Prime Minister Pedro Sánchez has already shown that he has a strong will by appointing the equivalent of three deputy Prime Ministers (of which Pablo Iglesias is one) and controlling all of the ministerial portfolios.

Iglesias has a number of low spending ministries under his wing and the next few months will see whether plans to fight for a greater say in government policy.

A brand new ministry is being created, which covers Social Security, Inclusion and Migration and this will be headed by José Luis Escrivá, currently president of the Independent Authority for Fiscal Responsibility (AIReF).

He has maintained a very independent stance being first appointed under the Partido Popular as it tried to introduce measures aimed at helping the economy recover and governing public accounts following the financial crisis of 10 years ago.

He has also worked with the Monetary Policy Division of the European Central Bank, the Bank for International Settlements, the Bank of Spain and BBVA so certainly looks like a potential safe pair of hands.

Previously Social Services came under the Ministry of Labour but is now promoted to be a ministry in its own right which means that as part of a reshuffle the previous head Magdalena Valerio will be replaced.

This new ministry will have a particular role in the planning of pension reforms which AIReF argued were long overdue and it seems likely that retirement age will inevitably be increased to bring it more in line with other European States.