The Rise of Public Affairs Consultancies and Their Political Influence

These firms, acting as a bridge between the public and private sectors, are growing in Madrid and Barcelona, leveraging political fragmentation and decision-making complexity.

Generic image of a microphone on a podium, symbolizing influence in the public sphere.
IA

Generic image of a microphone on a podium, symbolizing influence in the public sphere.

The public affairs consultancy sector is experiencing significant growth in Spain, particularly in Madrid and Barcelona, serving as key intermediaries between the public and private spheres.

These firms, dedicated to influencing the public sector on behalf of third parties, mainly businesses, have proliferated due to political fragmentation, the increasing complexity of decision-making processes, and the rise of economic and geopolitical crises. Their work is professionalized, offering advice, branding strategies, and "contact agendas" to proactively influence governmental and parliamentary decisions.
Among the most prominent consultancies, known for their longevity and relevance, are Estudio de Comunicación, Llorente y Cuenca, Kreab, McKinsey, Atrevia, Roman, and Omnicom Public Relations Group. Additionally, major auditing firms like the Big Four (Deloitte, PricewaterhouseCoopers, Ernst & Young, and KPMG) have also ventured into this area. Concurrently, smaller "boutique" firms have emerged, offering more direct client contact.
A growing trend is the incorporation of former politicians into these consultancies, who bring knowledge of ministerial operations, legislative procedures, and valuable contact networks. This practice sparks debate, with some critics suggesting it can border on influence peddling. The Association of Institutional Relations Professionals (APRI) has been advocating for nearly two decades for state-level regulation of lobbying, similar to what already exists in some autonomous communities like Catalonia.

"The problem arises when the former politician uses this capital of contacts in grey areas that can border on influence peddling."

Irene Matías · vice president of the Association of Institutional Relations Professionals (APRI)
The lack of regulation is one of the main problems highlighted by experts. The Office of Conflict of Interest (OCI) is responsible for controlling "revolving doors" for former government officials, requiring a two-year period before accepting jobs that could create conflicts. However, this regulation does not apply to former deputies, creating a legal loophole. The public integrity bill, currently under parliamentary review in the Congress, aims to bring more transparency to the sector.
The sector has experienced significant growth over the past twenty years, driven by the wave of lobbying in Brussels. The projected business volume at the state level is expected to reach 200 million euros by 2030, with approximately 5,000 active professionals. In Catalonia, regulatory advancements in areas such as housing, tourism, and mobility have increased the demand for specialized consultancies, particularly in industrial, healthcare, and digital sectors.