Montero: “There were no bilateral meetings with Catalonia on regional financing”

This was confirmed by Montero himself at the press conference held after the meeting with regional Finance Ministers, where Catalonia was not fully represented by the Minister. Natalia Mas, but by the general secretary Josep María Villarubia. Mas had justified his absence from the CPFF with the argument that “it is not a debating body” but rather a place where the majority State communicates goals and maintains “unfair” funding for Catalonia. Moreover, according to Mas, the ERC’s pact with the socialists provides a bilateral dialogue table with the State for negotiation A “unique” financing model For Catalonia.

“There has been no bilateral meeting with Catalonia about the financing model,” Montero said at a press conference, referring to the anger previously shown by all PP autonomies and the concerns expressed by Castilla-La Mancha (PSOE) in the face of this crisis. A possible positive agreement for the Catalan community. The fact is that the words of the fourth vice-president and Minister of Finance, as well as the deputy general secretary of the PSOE and (among others) the negotiators of investment agreements with the ERC and Junts, do not allow us to rule out possible future meetings.

Budget deficit targets for 2024

Catalonia thus became the reluctant hero of a meeting. Fiscal and Fiscal Policy Council (CPFF) was the first call submitted by the Ministry of Finance since July 2022 to vote on the path of the autonomous communities’ deficit and debt targets for the period 2024-2027.

The stabilization path put on the table by the Minister of Finance includes a budget deficit target of 3% of GDP for all public administrations for 2024, divided between 2.7% for the State and 0.1% for autonomous communities. A balanced budget is expected for local businesses and a 0.2 percent deficit for Social Security. These targets coincide with the reference rates that the incumbent Government sent to Brussels on 15 October.

Since the Treasury had 51% of the votes in the CPFF, the unfavorable vote of the 14 communities in whose government the PP was included did not prevent the progress of the stabilization path proposed by the Government.

The meeting also served to enable the Treasury to communicate with autonomous communities. The resources they will obtain from the financing system in 2024, will reach the record 154.467 million euros (20 billion more than in 2023, an increase of 14.9%. resources town halls It will increase to 28,557 million (22.6% more than in 2023).

No progress has been made on the issue forgiveness of regional debts. The Minister of Finance informed regional Finance officials that he will hold meetings with each of them starting in January to determine the scope for each region of debt forgiveness, which has already been agreed for Catalonia in the amount of 15,000. millions of euros.

Expenditure ceiling and parliamentary procedure

Following the approval of the budget deficit and debt targets that the government submitted to CNAL (National Local Government Commission) and CPFF this Monday, minister council ready Approve the spending ceiling this Tuesday Under this, you can prepare the 2024 State Budget project.

HE minister council will also formally adopt deficit and debt targets Referral to Congress and Senate, Because it is imperative that both legislatures approve stability goals.

The PP’s absolute majority in the Senate can veto approval of deficit and debt targets. Until now, there were doubts about the consequences that this veto could have, as the idea was put forward that this veto could hinder the approval of State Budgets and therefore the autonomous communities.

But the fourth vice president and Minister of Finance announced this Monday: A legal report from the State Attorney’s Office services This means that if the Senate vetoes the budget deficit targets up to two times, the targets included in the Stability Plan that Spain sent to Brussels last April will be implemented. In such a case, autonomous communities should prepare their Budgets in line with the following goal: budget balance (This is what was in the April document) and they would lose the larger margin for more spending that the possibility of a 0.1% deficit gave them. (which is what is currently proposed) Montero therefore concluded that if the PP vetoed the path to the goals “it would be like this: throw stones at your own roof“, because the communities managed by them will have a lower spending margin in 2024.

Concerns in the rest of the communities

From a political perspective, this Monday’s CPFF meeting was marked by the absence of Catalan parliament member Natàlia Mas; This was collectively interpreted by the PP-ruled communities as a sign that the Treasury had already agreed with Catalonia on its figures. , two sided. “If an autonomous community decides not to come, it is because it has already done everything,” the Treasury Secretary said. EstremaduraElena Manzano complained about his presence before attending the meeting. “first and second class communities”. PP councilors are suspicious of the possibility of a “singular” financing model for Catalonia; but also the forgiveness of the autonomous debt of the Catalan community of 15,000 million; because although the Government insists that the amnesty will be extended to all autonomous communities, the criteria the Government will apply are unknown and the Minister of Finance has not done so. No new clues were given on this issue at the CPFF’s meeting on Monday.

Concerns were also expressed from socialist ranks. advisor Castile la ManchaAlfonso Ruiz Molina According to (PSOE), the CPFF attended the meeting to ask the Government to “clarify or deny” whether a “unique” financing model was being negotiated with Catalonia, as the “independents” claimed. “We’re talking about the fact that most of us here eat menu of the day and some want it à la carte meal“We don’t know what the reasons could be, considering we all have the same skills,” Ruiz Molina said before the match.

At the end of the meeting, Montero was clear in his assurance that there were no problems. no bilateral meeting But the truth is that his words do not allow us to rule out possible future meetings.

And that’s not quite what some regional councilors interpreted at the end of the CPFF meeting. advisor Castile la ManchaAlfonso Ruiz Molina (PSOE) said that the minister’s words allayed his fears about possible bilateral negotiations with Catalonia on regional financing reform. He also commented the same Madrid consultantRocio Albert Lopez-Ibor (PP): “They assured us that there are no bilateral negotiations with Catalonia, nothing is being negotiated and the minister asked for the minutes to be recorded, so I think we can be very calm, despite the agreement between Junts and PSOE the minister says that there are no bilateral negotiations which does not coincide with what the Minister of Catalonia said.