Living in the Balearic Islands requires earning 34,000 euros annually and sacrificing food

PalmaThe rising cost of housing is forcing working people in the Balearic Islands to adjust the budget allocated to other basic needs, such as food, clothing, and footwear. The annual budget allocated for food in the reference salary calculation has decreased by 6.7% compared to 2025, while the budget for clothing and footwear has done so by 20.6%, according to the 'Reference Salary Report in the Balearic Islands' prepared by CCOO. In contrast, the necessary expenditure to cover housing and current expenses has increased by 18.6% in just one year. This is one of the main conclusions of the update of the Balearic reference salary for 2026, which shows how residential costs increasingly condition the purchasing power of families.

The study places the income necessary to meet basic needs and have a minimum level of social life at 33,963.66 euros per year, according to the prices of the territory where one lives. This amount is equivalent to 2,425.98 euros per month in 14 payments or 2,830.31 euros in 12 payments. The figure represents an increase of 7.3% compared to last year and 22.73% compared to 2024. Housing is the item that most pushes up the reference salary. In 2026, the budget necessary to cover this expense reaches 21,379.48 euros per year, compared to 18,025.54 euros in 2025 and 15,431.33 euros in 2024. This means that, in just two years, this item has increased by 38.5% and now represents nearly 63% of the entire annual budget calculated by the study.

This increase contrasts with the evolution of the rest of the items. The budget allocated to food and non-alcoholic beverages goes from 3,204.73 euros per year in 2025 to 2,990.59 euros in 2026. The budget for clothing and footwear also decreases, dropping from 1,065.18 to 845.67 euros. Extraordinary expenses, for their part, go from 3,997.78 to 3,461.71 euros per year. In contrast, the budget allocated to health, education, and leisure increases, although with more moderate increments.

The study points out that this change in the distribution of expenses responds to the pressure that housing exerts on the economy of working people. With an increasingly larger part of income destined to pay for a roof over one's head, there is less room to maintain the level of consumption in other areas. According to the data provided by those responsible for the report, food prices have also increased by 27%, which worsens the loss of purchasing power in this item.

Ibiza needs almost 3,500 euros per month

The update of the reference salary also highlights the large territorial differences that exist between the islands. Ibiza is where the most income is needed to live in decent conditions, with 3,433 euros per month in 14 payments. It is followed by Formentera, with 3,006 euros, while in Mallorca the amount is 2,326 euros and in Menorca, 1,939 euros. The difference between Ibiza and Menorca therefore reaches 1,494 euros per month.

These inequalities are mainly explained by the cost of housing. In Ibiza, this item has increased by 25%, while in Mallorca it has done so by 20%. To prepare the study, data from the census records and the Household Budget Survey of the National Statistics Institute (INE) were used, in addition to information from private platforms. These latter sources allow for the incorporation of real estate market data which, according to those responsible for the study, official statistics undervalue.

The secretary general of CCOO in the Balearic Islands, José Luis García, has warned that good employment and economic growth data do not avoid unrest among workers. The Balearic Islands have an unemployment rate of 4.6%, a record of 707,700 employed people, and a GDP growth of 2.8% during the second quarter. However, as he has pointed out, "more than 40% of workers have difficulties reaching the end of the month". García has recalled that "in the last twelve years, wages have grown by 40%, ten points above the state average". He has also highlighted that "the average salary has risen by 4.4% this year, compared to the 4.1% state average". Despite these improvements, he has warned that "it might seem that we are in a good situation, but no, this produces unrest".

The union leader has emphasized the imbalance between income and the cost of living: "Housing has risen by 138%, more than triple the salary increase". In this sense, he has pointed out that "this year we have raised wages by 4.9%, but, to be able to live in decent conditions, the salary should have risen by more than 7%". García has also linked these demands with the general strike called for November 11th. "The axes of the call are wages, housing, and prices. We have more than enough reasons", he affirmed. In addition, he has called for participation: "We call on all workers to join the strike because it is better to lose a day's salary than to continue facing the policies that have brought us here". Finally, he has demanded measures to address the residential problem: "We need appropriate public policies to resolve the housing problem". He has also criticized the Government for "not wanting to declare any stressed zone" to limit rent prices.