An 'austere' budget passed by the Madrid government last week - which included a 5% slashing of civil servants' salaries and a draconian cut back in public spending - has culminated in Spain's first national strike in eight years today.

In calling the 24-hour stoppage, which is set to paralyse the country's transport system, the unions, including the powerful, General Workers Union (UGT) argued that the cuts are socially unjust and a 'step backwards' for the Iberian nation.

Spain is the eurozone's fourth-largest economy but has been badly impacted by the financial crisis-induced property crash and is struggling with an unemployment rate of 20% - up from 8% of two-years ago.