Madrid unveils 2027 budget of 6,901 million euros as opposition cries propaganda

On 5 November 2026 Madrid City Council presented its 2027 budget draft at a press conference led by Mayor José Luis Martínez-Almeida and Hacienda delegate Engracia Hidalgo. Non-financial spending is set at 6,901 million euros, 4.9% more than this year. Social spending reaches 1,355 million euros, and housing policies rise 10% to 248 million. The 21 districts receive 1,111.4 million euros, nearly 50 million more than in 2026, with Latina receiving the largest allocation at 95.21 million euros.

Opposition groups responded the same day. PSOE spokeswoman Reyes Maroto accused the mayor of triumphalism and propaganda, arguing the budget adds only 500 units to the public housing stock in 2027 while more than 78,000 people are on the waiting list of the municipal housing company EMVS. Vox spokeswoman Arantxa Cabello described the budget as continuist with earlier accounts of this term and asked who receives municipal aid. Más Madrid spokeswoman Rita Maestre said the budget was designed for the ultra-rich, pointing to a cut in the property tax (IBI) to the legal minimum that would reduce revenue by 31 million euros.

Hidalgo said that if a 4.5% pay rise for public employees is approved by decree, the mayor's gross salary could exceed 120,000 euros in 2027, compared with 115,721.64 euros in 2026 according to the municipal transparency portal. She noted that Spain has had no state budget since 2023, which creates uncertainty for municipal finances.