LAST Friday Benidorm finally approved a series of budgetary measures, which if implemented will mean
it will receive more than €58 million from the state to assist in its realignment of debt programme.
This will allow Benidorm to pay its suppliers who, being the last in line of default, are the ones suffering the most.
The loan will be repayable over 10 years at a rate of six per cent.
The new budget, called the ‘Adjustment Plan’ will mean higher taxes throughout the town, mirrored by cuts in services and expenditure.
For example, this year it is expected that spending will be reduced by €9 million, and by 2013 that figure is expected to increase to €11 million.
But the most critical stage will come between 2014 and 2015, when the town is planning to cut between €15 and €17 million.