In January, the city council of Jaén reported a significant milestone by approving the municipal budgets for 2026, marking the first budget approval since 2017. This was not merely a standard procedure; it reflects the financial crises faced by Jaén, where previous administrations have operated under a continuation budget due to ongoing financial distress. The city holds the highest per capita debt in Spain, putting it at the center of serious fiscal challenges.

The approval of the new budget was contingent upon the support from María Jesús Montero's ministry, which indicates the tight link between local governance and central government intervention in economically troubled municipalities. The motion of no-confidence led by Montero to displace the prior administration set into motion a series of negotiations between the ruling Socialist Workers' Party (PSOE) and the local party Jaén Merece Más. These negotiations were pivotal in creating a plan that included budgetary approval in exchange for the central government's financial support.

However, despite the successful passage of the 2026 budget, analysts warn that this move alone will not alleviate the city's dire financial situation. The resolve of the new administration is now to address the considerable debts and find long-term solutions to prevent further economic deterioration. The story underscores the ongoing struggle for fiscal stability in Jaén and points to a broader issue of local administrations being heavily reliant on national governmental support amid rising debts.