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Spanish government approves €309 million aid package for Ceuta amid migrant crisis

By staffSeptember 1, 20265 Mins Read
Spanish government approves €309 million aid package for Ceuta amid migrant crisis
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The migrant crisis in Ceuta continues to dominate Spain’s political agenda.

The Council of Ministers on Tuesday approved an extraordinary funding package worth €309 million for the autonomous city, aimed at safeguarding jobs, supporting businesses, strengthening security and ensuring public services.

Government spokesperson Elma Saiz presented the measures alongside First Vice-President Carlos Cuerpo and Territorial Policy Minister Ángel Víctor Torres. The announcement came on the eve of a demonstration in the city that has exposed divisions in the PSOE and prompted Podemos to call a separate anti-racism rally.

The package, Cuerpo explained, amounts to around 16% of the city’s GDP over the four remaining months of 2026.

The money is divided into four areas: €21 million for healthcare, education, justice and water treatment; more than €90 million for defence and the national security forces; €118 million for humanitarian care of unaccompanied migrant minors; and €80 million in direct support for businesses, incentives for trade and tax cuts.

Cuerpo, who also serves as Economy Minister, said the aid package represents a “shock response” designed to meet the demands of social organisations and the city government.

He said that the main aim of the decree was “to give confidence” to both companies and workers.

Cuerpo also stressed that, before the migration crisis, Ceuta was going through a “period of economic dynamism” that had helped to correct some of the “structural deficits” the city had struggled with for decades.

Direct aid for businesses and the self-employed

Of the €80 million allocated for businesses, €36.6 million is earmarked for direct support: €5,000 per self-employed worker and between €10,000 and €150,000 per company, depending on turnover.

Applications can be submitted from Monday 14 via the Tax Agency website, with the first payments aiming to arrive in early October.

The government has estimated that the measure will benefit 2,600 self-employed workers and 1,400 companies. This is supplemented by €14 million in consumer and tourism vouchers, €1 million for the Plan Ceuta Exporta, and another €1 million to promote the city as an international tourist destination.

The package also includes permanent measures: Corporation Tax relief rises from 50% to 60% for companies in Ceuta and Melilla that maintain their activity and jobs, alongside improvements to personal income tax (IRPF) for the self-employed, totalling €12 million.

Employers’ Social Security contributions are to be subsidised from 50% to 75% for permanent contracts linked to training, at a cost of €12.2 million over four months.

The government will also set up an ICO-backed loan guarantee scheme worth up to €50 million, introduce exemptions for companies that make use of the job retention scheme (ERTE) and provide an extraordinary benefit for self-employed workers who are forced to stop working.

The president of the Ceuta, Juan Jesús Vivas, warned of the seriousness of the situation a month ago, when the Government approved a first package of €168 million euros for the territory.

Vivas reiterated this in a new text, published by PP leader Alberto Núñez Feijóo, in which he denounced an “attack on its territorial integrity” and described a city “overwhelmed and on the brink of collapse.”

Vivas calls for Spanish unity on Ceuta Day

Vivas has also addressed Spaniards across the country in a message marking Ceuta Day, which is celebrated on 2 September, amid the fallout from the migrant crisis.

In his letter, Vivas called for national unity and solidarity and thanked people for the support shown to Ceuta in recent weeks.

“Ceuta has lived through its toughest month this August,” he added in the text, in which he described recent events as “an unprecedented outrage” against the territory.

But whatever happens, he insisted that the city would “never” be abandoned.

A Ceuta Day overshadowed by crisis

Vivas also acknowledged that this year’s 2 September celebrations would be different from those of previous years.

However, in his view, the situation the city is facing has made this day “particularly significant” and has presented an opportunity to strengthen ties and unity among Spaniards.

The president also referred to the rallies scheduled for 8 pm in municipalities across Spain following a call by the Spanish Federation of Municipalities and Provinces (FEMP).

He stressed that these demonstrations were not intended to serve partisan interests and are “not marked by political colours or ideologies.”

Their purpose, he said, was to send a message of unity and support to Ceuta.

Another of the key messages in the letter is that the defence of Ceuta goes far beyond the territory itself.

“The cause is not exclusively Ceuta’s; it is the cause of all Spain,” he said, linking the defence of the city to protecting territorial integrity and democratic values.

“We have never stopped feeling you at our side,” Vivas continued, while also expressing gratitude for the support shown towards the city during “its most difficult moment.”

He added that such displays had been “a source of encouragement and hope” and had helped send Ceutans a clear message: “We are not alone”.

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