If you wish to start a business, you should be aware that the Canary Authorities (“Gobierno de Canarias”) can offer you quite a lot of subventions to help you to set up your project.

When you start as self employed, you could get basically two kinds of help: the 'one off' payment (“pago único”), tax exempt (up to +/- 10.000 €, if you are entitled to receive a monthly payment from the unemployment office. This can happen even if you have been working earlier in the U.K.)
The subvention for promoting yourself as a self employed worker is 5.000 € for a man and 7.000 € for a woman. In either case, you have to be registered on the dole (at the INEM). It might seem odd, but you could then start your business the following week! And this is totally LEGAL. But there are many papers to be filled in and you will have to fulfil quite a number of requirements. If not, you could lose all your rights, and the above described money. And generally you will have to continue in the same business for at least three years.

When you wish to set up a limited responsibility company (S.L.), the rules are even more complex, and from our point of view it is much more difficult to be granted any money.
Other subventions are granted for both self employed people and companies. But be careful, even if these subventions have been granted, you could then wait for a year, if ever, to receive it.
Even if you do not have a business, you could be eligible for some money when buying a house, and in other situations.
Also, if you buy a new car with low CO2 emissions, the Spanish Government may give you a discount on the purchase price.
I am sure that I can help you in any of the above circumstances, and I would be pleased to do so.
Expertos de Tenerife S.L. cc San Eugenio, Local 99, Adeje. Tel: 922 713851
Stéphane MERCIER