In a landmark achievement, the Costa del Sol town of Estepona has officially reached ‘zero debt’ after paying off over €300 million, paving the way for what Mayor José María García Urbano has described as “the largest tax reduction in the town’s history.” 

The milestone, certified by the municipal comptroller, will translate into immediate relief for residents, with a 20 per cent reduction in the Property Tax (IBI) for 2025. This cut marks a cumulative 50 per cent decrease in IBI since 2011, with the mayor hinting at further tax reductions in the coming years if the town’s finances remain robust.

García Urbano revealed that in 2024 alone, Estepona paid over €26 million to fully amortise its financial debt, a feat accomplished through what he called “responsible, efficient, and austere” management. Once among Spain’s most indebted municipalities, with a staggering €4,600 per capita debt, the town has allocated an average of €60,000 daily since 2011 to clear its obligations. These included €33 million in unrecorded invoices, €6 million owed to the Andalusian Regional Government for misused grants, €60 million to Social Security, €18 million to the Tax Agency, and over €90 million through the Supplier Payment Plan.

Debt free, Estepona opens new chapter with lower property tax

“This closes one of the darkest chapters in Estepona’s history,” García Urbano declared, emphasising that the town has not only cleared its inherited debt but also avoided new borrowing. All recent infrastructure projects and municipal facilities have been funded without incurring debt, a testament to the town’s financial turnaround. The 2024 budget liquidation reported a record-breaking surplus of €45 million and budgetary stability of €24 million, with an average supplier payment period of just 12 days, placing Estepona among Spain’s fastest-paying administrations.
The mayor highlighted transformative projects that have modernised the town, including the nearly completed Coastal Corridor, a 95 per cent finished pedestrian boardwalk stretching Estepona’s entire coastline.

Other developments include the Felipe VI Theatre Auditorium, the Orchid Park, the Carmen Cultural Centre with its eight-storey Contemporary Cultures Library, and a new athletics stadium.

The former N-340 highway has been reimagined as one of Spain’s largest seafront boulevards, while the Calle Terraza renovation and a municipal parking plan offering 2,000 spaces at €1 per day or €3 for 24 hours have greatly improved accessibility and liveability.

García Urbano has attributed these achievements to “prudent resource management”, contrasting the current administration’s approach with the “financial mismanagement of previous governments.” “With strength and vision, we are advancing toward an excellent town,” he said, expressing optimism for Estepona’s future as a model of fiscal responsibility and urban innovation. The combination of debt elimination, tax cuts, and ambitious projects puts Estepona as an example of responsibility and progress on the Costa del Sol, delivering tangible benefits to its residents and setting a standard for municipal governance.

The prime minister and general secretary of the PSOE, Pedro Sánchez, has apologised for the alleged involvement of a party MP in a corruption case and announced that an external audit will be carried out on the party’s finances.

He also expressed his “deep disappointment” and, despite the impact this case is having on his party, confirmed that he will not call an early general election. The current legislature, he insisted, will run its full course until 2027. According to Sánchez, there is no government crisis. The opposition, however, claims this could be the beginning of the end.

Speaking at a press conference at the party’s headquarters in Calle Ferraz, Madrid, following the resignation of party organisation secretary Santos Cerdán over his alleged role in the so-called Koldo case, Sánchez said his response to corruption would be as firm as the disappointment he feels.

“I want to offer my apologies to the public, because the Socialist Party – and I, as general secretary of the PSOE – should not have placed our trust in him,” he said with a sombre expression, before more cameras and journalists than usual.

External audit and federal executive reshuffle

Sánchez announced that, despite the positive reports issued by the Court of Auditors, an independent audit will be commissioned to dispel “any shadow of doubt” the public may hold.

Alongside the audit, he also plans to overhaul the party’s leadership structure. The changes will be made official at a federal committee – the PSOE’s highest decision-making body between congresses – scheduled to take place in Seville on 5 July.

The meeting will coincide with the opening of the national congress of the main opposition party, the Partido Popular.

Sánchez declined to give details of the expected changes but noted that they are necessary, stressing that the organisation secretariat – the post held by Cerdán – is “a key responsibility in the structure of any political organisation”.

The current leadership of the PSOE was elected only six months ago, during a federal congress also held in Seville. At the time, the new leadership team received 90% of the votes, with Cerdán remaining as organisation secretary and María Jesús Montero continuing as the party’s deputy secretary general.

Sánchez insists elections will be held in 2027

Sánchez reaffirmed that there will be no early general election and said he plans to run again as the Socialist candidate when the vote is held in 2027.

“This isn’t about me, or the Socialist Party, or the MPs in our parliamentary group alone,” he said.

The prime minister revealed that he personally demanded Cerdán’s resignation after learning of a Guardia Civil report implicating him in alleged corruption. “Although the disappointment is great, the response will always be firm,” he said.

The roots of the corruption case

The so-called Koldo case erupted on Thursday, 12 June, with the emergence of eight audio recordings made over four years (2019–2023) by former adviser Koldo García, involving former minister José Luis Ábalos and former PSOE organisation secretary Santos Cerdán. The recordings, investigators say, paint “a highly incriminating picture”.

According to the public prosecutor’s office, the recordings “are of paramount importance” in the proceedings and are so explicit that “in many instances they require no further explanation”.

This view was set out in a written submission responding to the Guardia Civil’s report of 5 June, in which prosecutors requested several investigative actions – including the search of Ábalos’s home in Valencia, which took place two days ago.

The prosecutor highlights two key elements: “Koldo’s role as interlocutor in all the recordings” and “the common theme that runs through the conversations” – namely, “the pursuit of payment for alleged kickbacks following the award of public contracts”.

Eight recordings over four years

The eight recordings span from 2019 to 2023, beginning a year after Ábalos became minister and continuing beyond his departure from Sánchez’s cabinet in July 2021.

In each of them, Koldo and Ábalos review the sums they are allegedly owed. Koldo then turns to Santos Cerdán, with whom he discusses the specific payments due. Prosecutors say Cerdán “appears to be the person in charge of handling these alleged payments”.

The public prosecutor notes that “these demands follow a consistent pattern” across the eight recordings, all of which were made by Koldo between 2019 and 2023. The conversations, the statement says, always revolve around demands for payment: “Ábalos Meco, and by extension Koldo García, generated the debt with Acciona through allegedly fraudulent public contracts, and Santos Cerdán was allegedly responsible for managing the sums and their disbursement.”

“I won’t be an accomplice like his coalition partners”

The leader of the Partido Popular, Alberto Núñez Feijóo, called for a general election following what he described as Pedro Sánchez’s “insufficient” and “disappointing” explanations regarding the corruption scandal engulfing the PSOE. However, he ruled out tabling a motion of no confidence against the prime minister for the time being.

Speaking at a press conference at party headquarters in Madrid, Feijóo said that since he does not currently have the necessary support in parliament, now is not the time to present such a motion. He stressed that he does not intend to give Sánchez “a breath of fresh air” by allowing him to be reaffirmed as head of government.

“I won’t be an accomplice like his coalition partners, helping to ratify Mr Sánchez once again as prime minister,” Feijóo declared. He added that the moment he sees “any possibility” of success, he will act, because “the Spanish people know” he is ready to serve.

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A devastating air disaster struck the city of Ahmedabad on Thursday afternoon when Air India Flight AI171, bound for London Gatwick, crashed into a residential area just moments after takeoff. The Boeing 787 Dreamliner was carrying 245 people, including 233 passengers and 12 crew members, when it plummeted into the Meghani Nagar neighbourhood, sending flames and thick black smoke billowing into the sky.

Seconds After Takeoff

Flight AI171 departed from Sardar Vallabhbhai Patel International Airport at approximately 1:38 PM local time. According to preliminary flight data, the aircraft reached an altitude of only 625 feet before losing contact with air traffic control. Within moments, it veered off course and slammed into a cluster of buildings, triggering a massive fireball.

Eyewitnesses described scenes of horror as the plane descended unnaturally low before the impact. “There was a deafening roar, and then everything shook,” said Rajeev Kumar, a local resident. “The sky was on fire.”

Emergency Response

Local emergency services responded within minutes. At least seven fire engines and multiple ambulances were dispatched to the scene, where crews battled flames and searched for survivors. The area has been cordoned off to facilitate rescue operations.

Although officials have yet to confirm the number of casualties, sources indicate that fatalities are “highly likely.” The condition of survivors, if any, remains unknown at this time.

Government and Airline React

India’s Civil Aviation Minister, Ram Mohan Naidu Kinjarapu, issued a statement confirming the crash and expressing deep concern. “We are monitoring the situation closely and doing everything possible to support rescue efforts,” he said.

Air India has activated its emergency response protocol and is working with authorities to contact families of those on board. “This is a tragic day for all of us,” said Natarajan Chandrasekaran, Chairman of Tata Group, which owns Air India. “Our thoughts are with the passengers, crew, and their loved ones.”

Investigation Underway

The Directorate General of Civil Aviation (DGCA) has launched a full investigation into the cause of the crash. Black box recovery operations are underway, and teams are analysing technical data, including weather, fuel systems, and mechanical performance.

Experts note this would be the first fatal crash involving a Boeing 787 Dreamliner since its introduction to commercial service in 2011.

A Nation in Shock

The tragedy has shaken the nation and the international community. British authorities are coordinating with Indian officials to identify and assist UK nationals who may have been on board.

Messages of sympathy have poured in from around the world as families anxiously await news. The Indian Prime Minister is expected to visit the site later today.

Updates to follow as story develops