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Catalonia holds key as regions reject Spain finance plan

Responsible for this content: Frank Menze

Spain’s finance plan faces a bloc of planned No votes in Madrid on Friday, leaving Catalonia crucial to its next step. Castilla-La Mancha, Asturias and regions governed by the People’s Party (PP) say they will reject the proposal at the Fiscal and Financial Policy Council. The Finance Ministry needs enough support to take its reform of regional funding to the Cabinet.

Archivo - El ministro de Hacienda, Arcadi España (c-i), y el ministro de Política Territorial y Memoria Democrática, Ángel Víctor Torres (c-d), durante una reunión del Consejo de Política Fiscal y Financiera (CPFF) en el Ministerio de Hacienda, a 6 de jul
Europa Press

The Ministry has called regions in Spain’s common financing system to vote on the draft. Opponents say it was negotiated beforehand in a bilateral deal with the Catalan party ERC.

Socialist regions join the opposition

The government of Castilla-La Mancha, led by Emiliano García-Page, says the model was agreed with just one political party and one autonomous region. It argues that this fails to protect the principle of equality.

Asturias also calls the proposal unfair. Its regional government says the calculation of the adjusted population does not give enough weight to an ageing population and terrain, despite the effect both have on the cost of public services.

It also points to agreements in the regional parliament from 2020 and the Santiago Declaration of 2021.

Catalonia and Canary Islands back plan

PP leader Alberto Núñez Feijóo has also confirmed his party’s opposition. He says the proposal is aimed at Pedro Sánchez’s political survival and was shaped by a Catalan independence party.

Catalonia and the Canary Islands are expected to support the new funding model. Salvador Illa’s Catalan government says its deal with ERC harms no region and could benefit them all.

The Canary Islands say their vote will depend on two conditions: recognition of their special characteristics and receipt of the funding set out in the plan.

Topics: Politics

Source: Europa Press / Mallorca.com