Huge rallies have taken place in the Spanish and Portuguese capitals in protest at the countries' austerity measures.

In Madrid, tens of thousands of people gathered near the parliament with demonstrators speaking out against spending cuts, tax hikes and the country's high rate of unemployment.

It is the third time in five days that protesters have taken to the steets of the capital.

Earlier this week the Spanish government announced plans to reduce its deficit by €65bn over the next two-and-a-half years.

Portuguese protesters stepped up their opposition to the country's €78bn bailout ahead of new spending cuts and tax hikes to be announced in the government's 2013 draft budget.

The peaceful protest in Lisbon was organised by the CGTP union.

It came after the centre-right government caused widespread anger this month with a hike in social security taxes.