Spain's Socialists and their junior coalition partners Unidas Podemos have struck a deal on changes to the pension system that will put most of the cost on its highest earners, Reuters has learned from sources in the negotiations.
The reform is a key condition required by Brussels for Spain to get access to a fourth tranche of European post-pandemic recovery funds, and has been a point of dispute within the coalition government as it sought a formula that would increase revenue without penalising future pensioners.
The leader of Podemos, minister Ione Belarra, announced the agreement earlier in the morning, saying the government had found a way to increase revenues without harming future pensioners.
