The new Minister of Economy and Finance of the Generalitat of Catalonia, Alicia Romero (PSC), acknowledged that the agreement signed with ERC for the investiture of Salvador Illa, especially regarding regional financing, it is inspired by what was included in the draft Statute of Autonomy of 2005, which was later modified by the Congress, with the vote of the PSOE, in 2006, and brought into line with legality by the Constitutional Court, in 2010. The financing system “is inspired by the 2005 statute” and the idea is that the Tax Agency of Catalonia “collects all taxes and manages them”, said Romero.
In her first appearance before the Parliament’s Economy and Finance Committee, the councillor defended the financing model approved in 2009, which has worked very well for the Generalitat, going from receiving around 15 billion euros per year from the common fund to more than 29 billion, but he acknowledged that the system has “deficiencies.” And these must be eliminated. “We want a single financing that improves our regulatory and management capacity,” said Romero, who added that “the improvements that we promote from Catalonia end up being beneficial for all of Spain.”
In a speech full of praise for ERC, the advisor assured that from now on “It’s the right time” working to obtain the economic agreement, although he did not mention the new financing system, because the Spanish government is on the same wavelength. Although he did not specify how and how the new model would take shape, he indicated that it should allow the Catalan Tax Administration, which currently has around 800 workers, to “collect and manage all taxes”. And, subsequently, contribute to the common fund the “solidarity” monitored and conditioned on the autonomous communities not lowering taxes.
In response to the accusations of the Junts spokesman in the Parliamentary Commission, Antoni Castella, who criticized Romero that the PSC is a branch of the PSOE, the councilor said that: “The PSC will always defend the interests of Catalonia. “The PSOE has chosen to give priority to Catalonia, Pedro Sánchez has had a priority which is Catalonia.” And he asked Junts to participate in the defense of the economic agreement in Madrid.
On the other hand, Romero warned that the Illa government has no intention of reducing or eliminating taxes. Yes, he announced that he would analyze some taxes, without specifying which ones, but he made it clear that he would not eliminate any of them, so the region will continue to be the one that bears the most taxes. In addition, the councilor added that “We are below the tax pressure compared to other European countries,” providing for an increase in tax pressure. Curiously, in an argument that clashes with the establishment of an economic agreement, to defend this thesis, he declared that the tax system must allow “reducing inequalities” and that “the one who has the most, the one who earns the most, the one who pollutes the most, pays more.”
Recovering Catalonia and the budgets for 2025
At a global level and as axes of his policy, at the beginning of his mandate, Romero placed as priorities economic progress, social promotion and ecological transition. These are the “great challenges of Catalonia” and the mission of the councilor will be to “Catalonia regains the leadership lost in Spain and Europe in 2018, Madrid has overtaken us”; but without this being to copy anything from the Community of Madrid: “We do not want to be like Madrid, we do not want to fight with tax cuts.”
In this sense, the new head of Catalan finances said she would work so that “political stability and legal security” to “create trust in the markets”, because, according to him, “trust is essential as a fundamental value in times of great change”. Thus, Romero addressed all parliamentary groups, except Vox and Aliança Catalana, to approve the budgets, but he recalled that his priority partners are the ERC and the commons. Some accounts for 2024 will remain extended and will be implemented by 2025.
