PSOE’s 23-J Election Program: A Plan for Regional Financing, Tax Reform, and Social Investment
The PSOE outlines a multi‑year framework aimed at establishing a new regional financing system within one year, built to spur investment across all levels of public administration. The plan secures steady funding for public health, education, and social services, with clear targets expressed as GDP percentages: health no less than 7 percent, education at 5 percent, and social services at 2 percent. This framework is presented as crucial for delivering high‑quality services while preserving fiscal sustainability.
The document acknowledges the higher costs involved in delivering services in certain contexts. Population size, geographic scale, isolation, protected populations, and other demographic factors can raise expenses. It also notes the risk that underfunding pockets may emerge if regional disparities are not addressed. In response, the program calls for parallel reforms to local financing aimed at correcting imbalances and promoting fair competition among regions. The goal is to align funding with actual service needs and regional characteristics, reducing incentives that unfairly advantage some localities over others.
On taxation, the plan adopts a gradual approach, aligning with prior socialist platforms that favor adjustments rather than sweeping cuts. It proposes expanding revenue through stronger enforcement and a robust effort against tax evasion. The framework contemplates maintaining certain levies, such as those on banking and energy, if extraordinary profits persist. It also envisions extending the Temporary Solidarity Tax for Greater Fortune beyond 2023 as part of broader negotiations on a new regional financing model and the aim of ending unfair tax competition among regions.
The program underscores an environmental tax strategy grounded in the polluter pays principle. The objective is to guide middle‑ and lower‑income households toward greener practices through targeted measures in both direct taxation and public spending. The instrument set is designed to drive the transition without sacrificing economic fairness for households and families.
In social policy, the PSOE proposes tax relief and spending measures to support families, children, and those facing addiction or caregiving duties. The plan emphasizes measures that help the middle class with major life costs, including raising children, securing housing, adopting sustainable mobility, improving home energy efficiency, and purchasing electric vehicles. These steps are framed as direct benefits and enhancements to public services, ensuring taxation translates into tangible improvements in daily life.
Within the business landscape, the program provides incentives for self‑employment and small and medium enterprises to strengthen commitment to ecological and digital transitions. The focus is on pragmatic support that helps businesses modernize, grow, and adopt sustainable, innovative practices.
Finally, the plan envisions a transparent mechanism showing citizens how tax revenue is used. The aim is to empower people to participate in budget decisions and understand the link between taxes and maintaining a robust welfare state. It calls for a comprehensive information and assistance effort from the tax administration to improve citizen service and administrative communications, seen as a step toward higher compliance and greater public trust in how tax funds are invested in public goods.