- NEW: Miners are protesting cuts to government subsidies for the mining sector
- Spanish police use rubber bullets and batons to disperse protesters
- Demonstrators are angry about austerity measures
- Prime Minister Mariano Rajoy announces a sales tax increase and more spending cuts
Madrid (CNN) -- Spanish police used rubber bullets and batons to disperse protesters in central Madrid, witnesses in the city said Wednesday.
Hundreds of people quickly moved out of the area as police moved in.
Protesters, including a group of miners who have marched on the capital, are demonstrating against Spain's government and the austerity measures it is imposing as it seeks to curb the country's debt crisis.
Madrid's ambulance service said 43 people were injured in clashes at or near the Industry Ministry.
The injured include 26 miners and 12 police, as well as a number of supporters of the miners. Eight are receiving hospital treatment, but the injuries are not serious, the ambulance service said.
A number of miners reached Madrid on Tuesday night after taking part in what has been dubbed the "Black March," covering 450 kilometers (280 miles) over the course of two-and-a-half weeks.
They were joined by thousands of other miners and supporters in a large protest Tuesday night and another demonstration Wednesday outside the Industry Ministry.
The miners are protesting a 64% cut in the government subsidy to the mining sector this year, from 301 million euros to 111 million euros.
Unions say this endangers the jobs of 8,000 miners and 22,000 auxiliary jobs that serve mining regions where 200,000 people live and depend on mines.
The clashes came as Prime Minister Mariano Rajoy announced an increase in the country's general sales tax from 18% to 21%, as well as spending reductions that include cutting employment benefits after six months.
Announcing the measures to lawmakers, Rajoy said they would slash the budget by 65 billion euros ($80 billion) over two-and-a-half years.
The European Commission welcomed the move, saying it was an "important step" toward Spain meeting its deficit target for the year, Spain's Efe news agency said.
Spain's economic crisis also has worsened since last year. The nation has slipped back into a recession; the unemployment rate has risen to 24% overall, and more than 50% for those under age 25; and the government has already enacted billions of dollars in austerity cuts, along with some tax hikes, to reduce the budget deficit.
CNN's Claudia Rebaza contributed to this report.