New Minimum Living Income benefit likely to apply to foreign residents too

New Minimum Living Income benefit likely to apply to foreign residents too
  • Estimates are that the measure, due to be approved this week, could eventually help 850,000 households and cost the State three billion euros a year

Although final details have not been announced, more information has been emerging of the government's proposed new Minimum Living Income, which could eventually benefit some 850,000 vulnerable households in Spain.

The benefit, for those on very low or no income, has long been a policy of coalition partners Unidas Podemos and the government wants it to come into force in June. Estimates are that it will cost the State three billion euros a year, and initially reach100,000 households.

There will be strict criteria to apply. In the draft, the payment would apply only to people aged 23 to 65 unless they were caring for a minor.

They would need to have been living away from the parental home for at least three years and paid in at least a year to the Spanish Social Security system, although it could be over various shorter periods. The beneficiary would also have to have been a resident of Spain for at least a full year immediately before applying.

The benefit, to be known in Spanish as 'el ingreso mínimo vital' will cover the difference between the assets and income in a household and the minimum income that the forthcoming new law will set.

For example, provisional data reported earlier in May suggested the limit for a single adult could be 462 euros a month and 1,015 euros for a family of two adults and two children.

The measure is expected to be approved at a Cabinet meeting this week, when full requirements and details of how to apply from June will be released.