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COST OF LIVING

How inflation in Spain is driving working people to the ‘hunger queues’

With a secure job as a bricklayer and monthly wages of €1,200, Hugo Ramírez never thought he would need the help of charity to feed his family. But spiralling living costs in Spain mean the 44-year-old father of three has been left with no other choice.

How inflation in Spain is driving working people to the 'hunger queues'
People queue up to get food next to Aluche neighborhood association local in Madrid on November 19th 2022. (Photo by PIERRE-PHILIPPE MARCOU / AFP)

“We see prices increase every week, even for basic goods,” he told AFP as he stood before wooden crates of fruits and vegetables at the entrance of a residential building in Madrid.

Driven by the war in Ukraine, Spanish food prices jumped 15.4 percent in October from a year earlier, their biggest increase in nearly three decades, according to the National Statistics Institute.

Sugar was up 42.8 percent, fresh vegetables rose 25.7 percent and eggs 25.5 percent as staple items soared.

In a bid to ease the pressure on squeezed households, Socialist Prime Minister Pedro Sánchez’s government — which faces an election next year — has spent billions of euros on extra welfare spending.

Every Saturday Ramírez, who is from Venezuela, comes to this food bank set up by a neighbourhood association in the working-class district of Aluche during the pandemic to pick up food supplies.

He earns €1,200 a month while his wife makes €600 working part time as a domestic helper.

After paying their monthly rent of €800 and €300 for utilities “there is not much left,” he said.

Driven by the war in Ukraine, Spanish food prices jumped 15.4 percent in October from a year earlier, their biggest increase in nearly three decades, according to the National Statistics Institute. (Photo by PIERRE-PHILIPPE MARCOU / AFP)

The line of people seeking help stretched far down the street. Many of them are immigrants.

Similar lines, dubbed “hunger queues”, can be seen regularly outside of other food banks across the country.

Insufficient salaries

“Every week we see new families in need, especially since the start of the war in Ukraine” in February, said Raul Calzado, a volunteer with the Aluche neighbourhood association.

Some mothers have stopped buying feminine hygiene products to be able to feed their children, he added.

The association currently offers aid to 350 households, a number Calzado expects will rise to around 400 by the end of the year.

Behind him dozens of other volunteers are busy at work, surrounded by boxes of pasta, canned goods and baby diapers.

“Some beneficiaries have no revenues. But we also have more and more retirees with small pensions or people who work but whose salaries are insufficent,” said the association’s vice president, Elena Bermejo.

One in seven homes in Spain suffers food insecurity, meaning inadequate or insecure access to food due to low income. (Photo by PIERRE-PHILIPPE MARCOU / AFP)

Among the measures Spain has introduced are subsidies for transport, a one-off payment of €200 for the unemployed and a 15 percent increase in pensions for the most vulnerable such as widows.

But charities that work with the poor say the measures are not enough.

“For some families, even buying a litre of olive oil or a kilo of lentils has become difficult,” said Bermejo.

Donations down

Food banks, which had started to see dome relief as people returned to work after pandemic shutdowns, are struggling to meet the growing demand.

“With inflation, we are seeing a decrease in donations” since people have less money, said the spokesman for the Spanish Federation of Food Banks, Luis Miguel Rupérez.

And higher prices also mean food banks can’t afford to buy more food themselves, he added.

The federation collected 125,000 tonnes of food since January, compared to 131,000 tonnes during the same time last year.

Food banks provide help to over 186,000 people in the Madrid region, and 1.35 million in total in Spain — roughly the same population as Barcelona, the country’s second biggest city.

One household in seven in Spain suffers food insecurity, meaning inadequate or insecure access to food due to low income, according to a study published earlier this year by the University of Barcelona.

“I hope it will get better but I’m afraid that won’t be the case,” said Ramírez as he clutched a bag of groceries from the food bank.

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When should you turn down an inheritance in Spain?

There are several reasons why people increasingly turn down inheritances in Spain. Here's what you need to know about the possibilities, how it's done, and what happens next.

When should you turn down an inheritance in Spain?

Apart from the death of a loved one, receiving an inheritance can also result in its own setbacks. Unfortunately, for some people, this is compounded by the fact that inheritances can become an extra source of stress, whether it be through family disputes or the bureaucratic work that follows.

Increasingly in Spain, however, people are rejecting their inheritances. Last year, Spaniards renounced more inheritances than ever before, consolidating an emerging trend in recent years and setting a record high, according to data from Spain’s General Council of Notaries.

Just over 56,100 people rejected their inheritances in all, 16 percent of the total number.

Why are they doing this, and when should you consider turning down an inheritance?

EXPLAINED: How choosing the right region in Spain can save you thousands in inheritance tax

When should you turn down an inheritance in Spain?

Traditionally, people turn down inheritances when it isn’t worth their while to receive it. In other words, usually because of the high amounts of debt the inheritance includes, meaning that the deceased has left more liabilities than assets.

This is usually much more common in times of economic downturn and uncertainty. This is why, in addition to financial uncertainty caused by the Covid-19 pandemic, the period of stagnant inflation that followed probably contributed to the number of people in Spain turning down inheritances in 2023.

Another reason that Spaniards turn down their inheritance is because doing so would not work out worthwhile after paying tax on it. This one obviously depends on how much (and the form) you are left.

Inheritance tax in Spain is levied on a regional basis. For more information on the best and worst areas for inheritance tax rates, see our coverage below.

READ ALSO: Where are the best and worst places for inheritance tax in Spain?

In cases of property inheritance, people also turn them down due high maintenance or repair costs, or because a property cannot be sold.

It may also happen that the heir named in the will has their own outstanding debts and does not want the assets inherited via the will to end up in the hands of their creditors. In these cases, the inheritance is waived so that the inheritance passes onto someone else (more on that below).

Obviously, though probably less common, some heirs renounce their inheritance out of generosity. If the heir is already wealthy, he or she may wish the inheritance goes to a relative who needs it more.

Named heirs have the right to study the contents of the inheritance in order to decide whether to accept or reject it. This is known as the right to deliberate, which is a period of 30 days in Spain.

How to renounce an inheritance in Spain

There’s a particular process for renouncing an inheritance in Spain, and a few things to know.

Firstly, even if the contents of the will are known, it cannot be renounced until the person in question dies.

Note that the decision to renounce or accept an inheritance cannot be changed, so be absolutely sure of your decision first.

If you want to renounce it, you must turn it down formally, in writing, normally before a notary or in a court of law.

Who receives the rejected inheritance?

If the principal heir turns down their inheritance, a substitute may be named in the will who will receive the inheritance in his or her place.

If no substitute is specified in the will, the inheritance is distributed in the following order, according to inheritance law experts Simarro Herencias:

Descendants (children)
Ascendants (parents, if alive)
Spouse.
Siblings, nephews and nieces.
Other family members up to the 4th degree.
The state.

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