There is broad consensus that the regional financial system needs reform because the current setup feels disrespectful to the community. Yet, disagreements remain about how to proceed. The inter-parliamentary conference held at the Valencian Parliament this Friday again acted as a gauge of political tension between blocs on the left and right, exposing a clear lack of capacity to agree on a unified path. Despite the intention to address a regional capital issue, the session, attended by more than 60 MPs and senators and representatives from across groups except Vox, concluded with numerous criticisms and no special pact that would forge unity or strengthen the case for reform. The central question remained the fairness of fund distribution from the national government.
Concerns surfaced as lawmakers framed the debate as a political struggle, casting the reform as an ongoing contest rather than a shared project. The Congress and Senate deputies spoke in the opening rounds, while the absence of Ximo Puig, the Consell’s sole representative, drew pointed remarks from the PP and Cs. They argued that there should be a clear separation of powers by the Presidency and that the regional leader was present primarily to oversee sessions.
Reactions from PSPV’s leadership followed quickly. The main Barcelonawas the first to respond, celebrating turnout while contrasting it with a weaker presence in 2017 when the PP did not attend. The Socialist spokesperson emphasized that the reform’s success hinges on a parliamentary majority, and without broad agreement there will be no substantial change. He recalled a request for a temporary equalization fund from the Finance Ministry to align resources across communities without increasing indebtedness, and argued for compensation for existing debt tied to the lack of funds, noting that 78% of the total debt is tied to these gaps.
On the PP side, Maria José Katala accused Pedro Sánchez of hindering financial reform and reproached the regional PSOE for what she called silence. Katala outlined objectives including an urgent convening of the Fiscal and Financial Policy Council to respond to regional concerns about the initial proposal, and the demand for an income of 1,336 million euros included as a leveling fund in the regional budget through July, alongside a mechanism to compensate historical debt. Vincent Sarria, a socialist deputy, challenged Katala by suggesting that underfunding is not solely a government choice and that consensus among communities is essential. He highlighted extraordinary pandemic transfers and questioned Feijóo’s stance on reform, while Albert Fabra defended that ultimate responsibility rests with the Botànic coalition and the central administration.
With the PP’s parliamentarians, María José Catalá and Alberto Fabra, the discussion continued to stress practical proposals and political accountability. The debate underscored the need for a meaningful, shared framework rather than partisan finger-pointing as the only path to progress. This context illustrated the challenge of reconciling different regional priorities while maintaining fiscal stability and accountability at the national level.
Reconciliation efforts emerged as a recurring theme. The deputy trustee More and proxy Joan Baldoví proposed a concrete route: a common bill to register with Congress, based on two pillars. First, correcting regional imbalances; second, funding a new model guided by population-based distribution and by using Airef’s calculations for historical debt. Baldoví challenged the center-left bloc to avoid posturing and to push for decisive action, emphasizing that the moment required tangible outcomes rather than accolades.
Another set of voices called for pragmatism. Cs representatives Ruth Merino and Maria Muñoz argued that the resolution of this issue depends on broad-minded, cross-party consensus and a move away from partisan gridlock. They supported Baldoví’s framework while insisting on a fair, universal approach that prevents special privileges for any autonomous community. Unides Podem backed a balancing fund and the repayment of historical debt, coupled with progressive reforms that enable resource redistribution. National attorney Txema Gravel urged the Finance Minister to set concrete dates for discussion, noting that the current conflict in international affairs, such as the war in Ukraine, should not derail domestic reform.