VAT increase 18%-21%
8%-10% rise in reduced VAT rate on public transport, hotels and processed foods
Basic goods VAT on bread, medicine, books stays at 4%
Christmas bonuses suspended for public workers
Unemployment benefit cut from sixth month out of work
30% cut in councillors in some areas
Subsidies cut by 20% in 2013 for political parties, unions and worker
Madrid, Spain (TOE) – Spanish PM Mariano Rajoy has announced a