This royal decree increases permanent incapacity, retirement, widow’s, orphan’s social security contributory pensions and pensions for family members, where entitlement to them arose before January 1, 2022. All these benefits will be increased by 2.5 %. This rise is equal to the average year-on-year variation in the Consumer Price Index for the months between December 2020 and November 2021.
The amount to be reviewed is capped at €2,819.18 per month. Which means that pensions over and above this amount will not be increased. That cap on the monthly amount will be adapted where the pension recipient is entitled to receive fewer or more than 14 payments a year, including nonregular payments in each case, with the result that to qualify the amount received over the year may be equal to or lower than €39,468,52.
For noncontributory incapacity and retirement pensions, the increase is 3% of the amount determined for 2021, and has been set at €5,899.60 per year.
The royal decree comes into force the day after the date of its publication in the Official State Gazette, and its economic effects are valid from January 1, 2022.