Public deficit falls to 1.54% of GDP in September and State deficit falls to 1.37% of GDP by October

For its part, by October the State deficit alone amounted to 20 billion 53 million euros, standing at 1.37% of GDP, compared to 1.58% in the same period last year. 5.7% compared to the same period last year.

Despite this decrease, the directing Ministry Maria Jesus Montero They explained that the deficit was greatly affected by the final liquidation of the financing system of the Autonomous Communities and Local Companies, which took place in July 2023, corresponding to the 2021 fiscal year, assuming that the state’s deficit will increase by 11,798 million.

By October, the state’s non-financial income amounted to 222 billion 917 million euros; This means 0.4 percent more than in the same period in 2022.

Tax collection increased by 3.1%

Especially, taxes reached 186,454 million, or 83.6% of total resourcesand increased by 3.1% compared to October 2022. Production and import taxes increased by 2.2%.

Among non-financial resources, considering the 2023 tax developments, the New Special Tax on Non-Reusable Plastic Containers, Temporary Energy Tax, Provisional Tax on Credit Institutions and Financial Credit Institutions and Provisional Tax on Non-Reusable Plastic Containers stand out. Great Fortunes Solidarity, which allowed the joint collection of 3.934 million by October.

Current taxes on income and wealth reached 87.659 million, The figure is 4.2% higher than in the first ten months of 2022Because Corporate Tax revenue increased by 7.9% to 39,009 million.

The Ministry of Finance stated that “This increase is mainly due to the increase in installment collections, on the other hand, the income from the annual declaration increased by 11.8 percent.”

While personal income tax decreased by 3.6% compared to 2022 volume, reaching 43 billion 401 million, the revenue from Non-Resident Income Tax reached 2 billion 911 million, with an increase of 18.7%.

Government spending fell 0.2%

until October, Non-financial affairs of the state were settled 242.970 million, A figure that is 0.2% lower than the figure recorded in the first ten months of 2022. The largest volume item is transfers between public administrations, with a weight of 62.2% in total non-financial affairs.

Specifically, in the first ten months of the year, they reached 151,076 million, an increase of 2% compared to the previous year, due to the additional provision of 1,666 million allocated to Autonomous Communities and Local Companies to compensate for the negative general balance of 2020. settlement. .

On the one hand, Regional Administration received 86.172 million. 75,417 million of the total transfers corresponded to the financing system, an increase of 10.9% compared to 2022; 67,080 million of which correspond to payments from the account, while the remainder corresponds to the impact on the final settlement expense for 2021.

In contrast, the Social Security System received 2,639 million less than in 2022, or 31,440 million, mainly due to transfers linked to the Toledo Pact.

Local Government received 21 million 213 million lira, an increase of 2 billion 407 million compared to last year. 18,746 million of the total transfers correspond to participation in state revenue; This means an increase of 5.8% compared to the previous year. Of this final amount, 18.052 million are payments from the account, and the remainder relates to the impact on the expense of the final settlement for 2021.

Employee wages increased by 4.3% and reached 16 billion 971 million euros. October salary payments include the additional increase of 0.5 percent foreseen in the 2023 General Budget Law.

Public deficit breakdown

Looking at the distribution of the public deficit until September, the Central Government deficit was 23 billion 211 million, that is, 1.59% of the GDP, while the autonomous communities had a deficit of 509 million at the end of September, corresponding to 0.03% of the GDP. It reached a deficit of 0.46% compared to the same period last year.

The reason for this result in communities 2.2% increase in expensesRevenues increased by 5.8%. Specifically, taxes increased by 15.4% to 66,257 million.

Finally, Social Security Funds are running a surplus of 1,272 million through September 2023; This is 1.371 million higher than the deficit in the same period in 2022. In terms of GDP, the Social Security surplus is 0.09% of GDP, which is 0.10 percentage points. more than the previous year.

A revenue increase of 10.1% can be observed, highlighting the strong growth of 9.9% compared to the 9.2% increase recorded in expenses and the good performance of contributions.