People, housing and security given priority in the budget proposal for 2026
The new municipal budget project for 2026 tops the figure of 4,000 million euros for the first time and prioritises services for people, the fight against inequalities, access to housing and security, without the need to increase taxes for families and SMEs.
The budget for 2026 reaches 4,180 million euros, some 326 million more than the project initially planned in the 2025 budget, an increase of 8.5%. The effort in investment is maintained to carry out major works, facilities and urban transformation projects, with 861.8 million euros, including 56 million directly executed by the Municipal Institute for Housing and Renovation (IMHAB), 41.2 million to be invested through BSM and 11.5 million through other organisations.
Revenue will be increased, through the current transfer from the Spanish state and the application of the municipal surcharge on the tourist tax, rising from the current 4 euros to 5 euros. This proposal, which will allow an increase in revenue of nearly 10 million euros, is conditioned by the new tourist tax completing its path through the Parliament of Catalonia.
The budget does not entail any extra tax pressure for families and SMEs. Discounts will be included for up to 95% for urban regeneration works (repair of structures, renovation of façades, party walls and rooftops, improvements to sustainability and energy efficiency), incentivising the renewal of housing stock and reducing the economic burden for local people. Automatic increases in the waste tax and public price of waste collection will be applied in 2026, set out in the Tax By-laws for 2025, levelling out the increase in various financial years.
In terms of spending, current expenditure is set to grow by over 6% and reach 3,214.4 million euros, nearly 200 million more than the amount initially earmarked for this year. A contingency fund of 113.2 million euros is also planned.
Seven priority areas
The budget centres on tackling the city’s main challenges, with support for people, housing and safety as the key areas. The main budgetary item is for support for people, specifically the fight against inequality with an overall sum of 994.9 million euros to drive active policies for cutting social and generational gaps.
Nearly 240 million euros will be used for overall spending on housing, an increase of 40 million, for the construction and enlargement of the public housing stock through various formulas favouring renovation. Of this amount, 50 million will be used for renovation: 43 million to boost the public housing stock with new-build homes; 20 million for a pool of right-of-first-refusal properties; 25 million to free up land for new developments in La Sagrera, and 6 million for a series of rental subsidies for single-parent families and the over-55s.
As for security, the budget envisages spending of 430.6 million euros, allowing for a new recruitment call for the City Police to add 100 new officers.
In addition, 441.8 million is earmarked for local policies, with direct investment in the local area, whether maintenance or cleaning or the districts’ own budgets.
The promotion of public transport will get 266.9 million euros, with the discounts on ATM transport tickets to be maintained and the Bicing service to be extended. The strategy on climate action, to adapt the city and make it more resilient, will get 109.3 million euros.
Finally, the new budget promotes economic diversification with 150.5 million euros for activity such as the promotion of commerce, support for SMEs, backing for talent and reindustrialisation.
The digital transformation of the City Council will get 113 million euros in investment and spending, focusing on improving services, the digitisation of processes and the incorporation of artificial intelligence.
Main investment projects at a city level
The 2026 budget contemplates investment in the major city projects already under way, announced last year, such as the tram system, La Rambla, the Climate Plan, Av. Meridiana and the Ronda de Dalt. Other notable investments include:
- Teatre Arnau: €11M this term of office
- Castell dels Tres Dragons: €8M this term of office
- Pla Endreça 2026: €39.5M
- Passeig de la Mar Bella: €17.8M this term of office
- Comprehensive remodelling plans in the districts 2026: €45.7M
- Neighbourhood Plan: €200M this term of office
The budget project maintains the rigour and solvency of Barcelona City Council, as recognised by the different ratings agencies. Municipal debt remains stable and stands at 27.4% of current revenue and the payment of providers is unchanged at 21 days, well below the 30-day maximum established by the law.