by Humphrey Carter

Further aid is coming from the ECB but with another set of strict conditions which means that the Spanish government is going to have to step up its austerity measures. But what does the Spanish government have left to squeeze? It can not hit the general public any further because that will lead to another sharp down turn in consumer spending and that will lead to more jobs being lost and businesses closing. It can neither make it harder to the small business sector which is already struggling to keep its head above water. After decades of being addicted to taking out cheap loans to build regional airports which have been closed before they've even opened, for example, or pledging to pump millions into a Palma tram system, the Spanish government has got to set its sights on getting tough with its over inflated public sector.

It has got to stop funding needless projects and propping up a small army of civil servants who, as their regional and local authorities scale down their departments, have less and less work to do.

Any further attempt to make the general public pay for years of gross financial mismanagement and greed at the top will end in tears and violence.
Civil servants will argue their case, they are already out protesting on a daily basis but people have to get real.
There's no money in the pot and the only thing left for the public to do with their belts is whip the regional and central governments.

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