He public deficit continues to give headaches Government of Pedro Sánchez and increases by 10.6% over the first eight months of the year compared to the same period in 2023, a hole which reaches 35.981 million euros, or 2.27% of the Gross domestic product (GDP) of Spain, according to data published this Thursday by the Cash. On the other hand, the red numbers of the State, that is to say without taking into account the rest of the local or regional administrations, 32% climbed at an interannual rate in September, at 34.463 million euros, or 2.17% of GDP.
Thus, it becomes difficult for the President of the Executive respect the commitment of the public deficit of 3% that it maintains with Europe. The Ministry of Finance explains that the increase in the state deficit until September is mainly due to the impact that liquidations final measurements of 2022, carried out in July 2024, higher than those of 2021 carried out in 2023.
The final regulations of autonomous financing system In 2022, they generated 25.322 million euros in favor of autonomous communities and local entities, unlike the 11.799 million of the previous year, which contributed to an increase in the State deficit of 13.523 million euros .
Spain’s public deficit
In September 2024, the update of deposit deliveries for autonomous communitiesapplied retroactively to January 1, generated a negative impact on the deficit of 6,444 million euros.
In terms of incomethe State reached 205,460 million euros until September, or 5.1% more year-on-year, while expenditure amounted to 239,923 million, with growth of 8.3%.
THE taxeswhich represent 82% of revenues, reached 168,051 million euros, or 4.6% more than in 2023. Within these, taxes on production and imports, such as VAT, increased by 6.1%, and the tax on certain digital services increased by 28.2%. Regarding personal income tax, it recorded a slight decrease of 0.1%, reaching 41.843 million.
THE non-financial expenses of the State increased by 8.3%, driven by transfers between public administrations (63.5% of the total), which increased by 9.8% over one year.
THE salary compensation increased by 4.7% due to the application of salary increases planned in the 2023 and 2024 budgets. Accrued interest increased by 14.4%, to 24,023 million, while social benefits increased by 4 .5%, driven by the increase in contributory pensions.
The deficit of Central administration In August 2024, it represented 2.31% of GDP, while the autonomous communities achieved a surplus of 0.01% of GDP, reversing the deficit of the same period in 2023, and the Social security funds they reached a surplus of 543 million, driven by an increase in income of 6.7% against an increase in expenses of 8.1%.
