Alarm bells are ringing once more in Alicante’s business community. The uncertainty from the latest electoral cycle casts a shadow over the entire region, threatening to stall administrative activity and push the state into a prolonged paralysis. What keeps the government in power, and how long can it sustain this pressure? The current climate suggests the need to broaden the General State Budgets, as Alicante has been consistently shortchanged in recent years, ranking at the bottom for investments per capita.
A pragmatic path forward requires a fresh set of public accounts that would clear space for new projects. By contrast, extending the current budget merely updates some line items—such as civil service pensions and salaries—or allows continued work on multi-year infrastructure projects without delivering new investments requested for the province.
Although the Government has not officially admitted that an extension is the sole option, officials have floated the idea to avoid hindering economic growth. The calendar, however, is working against this plan. The spending ceiling should have been set last July, and the Budget proposal needed to reach Parliament before the end of September to accommodate the three-month parliamentary timeline. Given this cadence, readiness on January 1 seems improbable. Approval could slip into next year, with implementation kicking in only after the next budget cycle, assuming there is no repeat election.
Salvador Navarro, head of the autonomous employers’ association CEV, describes the situation as “very worrying” for the state. The delay in planning and delivering the infrastructure Alicante needs would set the province back once again. “Who can we turn to for proposals to improve the current situation?” Navarro asked, signaling a call for action.
Entrepreneurs intend to press forward as soon as possible, seeking to shape dialogue across political lines. They aim to influence all groups through the CEOE commission on relations with the Cortes and place trust in organizations like Aena and other firms not tied to public account approvals to move forward with their initiatives. The focus remains on advancing the second phase of El Altet and urging employer bodies to demand concrete outcomes.
State investments: from 84.5 euros per person in Alicante to 1,100 euros in Soria
In a related analysis, Ignacio Amirola of the Institute of Economic Research of the Province of Alicante (Ineca) described the situation as “very negative” for citizens. He argues that expanding state budgets would delay addressing long-standing grievances and creates a costly hesitancy around essential projects. Ineca notes a historic investment deficit in the province since 2008, highlighting a figure of 3.535 million euros per capita evaluated against national norms.
The organization warns that an extension could further slow socioeconomic recovery by postponing infrastructure already allocated in the 2023 State Budget. Among the projects cited are the third lane of the A-70 between Alicante and Elche, the N-332 corridor around Torrevieja, the AVE link from Alicante to Valencia, the Mediterranean Corridor, the rail connection from the coast to Benidorm, and the rail axis from Alicante to Murcia, all deemed vital for regional growth.
Budget pressures: unity versus erosion of government support
From the vantage point of the two major political blocs, the PP is quick to seize on the crisis as a vehicle to criticize Pedro Sánchez, accusing him of using budgets as leverage to reward or punish. “Alicante has felt the sting of punishment,” commented a Popular Party deputy. Another figure warned that if the accounts are extended, the province would remain at a low investment level and face potential abandonment. On the other side, the PSPV in the Valencian Cortes, alongside a former Finance Minister, argues for action and insists that investments can proceed even with an extended budget, though the process would be more burdensome. The Valencian Socialists pledge to continue pursuing key investments for the province, including the airport rail link and vital water infrastructure.
The worst public accounts in Alicante
The 2023 General Budget proposal anticipated the lowest level of state investment ever seen in Alicante, pegged at 160.8 million euros. This placed the province last in per-capita investment, with 84.5 euros against a national average of 283.4 euros and a standout beneficiary, Soria, at over 1,100 euros. The plan sparked widespread outrage and prompted two rallies—one organized by the Chamber of Commerce and another by a broad coalition of social actors. Initial protests led the Executive Board to acknowledge that actual investment amounts were higher due to nearly 69 million euros in railway and water infrastructure projects not initially counted, and proposals to adjust this figure by around 51 million were floated during the parliamentary process. Even so, Alicante remained at the bottom in investment rankings.
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