Over the next few days, in February, the Treasury will open a round of contacts with the autonomous communities to finalize its proposal to absorb part of the debt contracted with the Autonomous Liquidity Fund (FLA) during the economic crisis. This was announced by the first vice president, María Jesús Montero, during her appearance in the Finance and Public Service commission of the Congress of Deputies, where she explained the general lines of the economic policy that the Government intends to develop during the legislature.

Montero has advanced that the proposal that he will convey to the regional Treasury councilors will be determined based on “objective and common parameters.” The Government has already agreed with ERC to absorb 15,000 million of the debt that Catalonia contracted with the State, a model that it plans to reproduce in all territories. Madrid, which has no debt, will receive a transfer.

The Minister of Finance has asked the PP to abandon “ideological positions” and move forward with a possible agreement. “I make a sincere appeal so that we can approach this debate with rationality and honesty,” she claimed to the regional governments. The absorption of a part of the debt accompanies the attempt to reform regional financing. Montero has defended his proposal on adjusted population, which he already presented in the last legislature, to begin the dialogue.

The first vice president has also announced that today the European Commission is going to confirm the transfer of the pre-financing of the addendum requested by Spain. This will allow receiving 340 million in loans. Specifically, according to Montero, the Commission will authorize in a few days the 1,040 million pre-financing specified in the addendum phase. There are more than 1,380 million more. For Montero, these communications from Brussels are a symptom of “trust” in the country.

Regarding the subsidy decree that overturned Congress, Montero has revealed that the Government is in negotiations with the European Commission to “direct” the situation. “We will shortly bring the text for new discussion by Congress,” added the first vice president.

María Jesús Montero has also set the priority of presenting the Budgets for 2024 in the coming weeks. The Minister of Finance has announced that the Government’s intention is to approve this year’s public accounts “as soon as possible” and she has revealed that she has already contacted the political groups that supported Sánchez’s investiture. The Ministry of Finance has already presented the spending ceiling, which is a record, and the path of stability. Faced with the possibility that the Senate, with an absolute majority of the PP, rejects the stability objectives on two occasions, Montero has recalled that the margins will be “less flexible” for the autonomies and city councils.

In the tax area, Montero has defended a “more modern, fair and redistributive taxation” and, in this sense, has confirmed the regulatory change in personal income tax, which will be included in the Budgets, to adapt the tax to the increase in the SMI. He has also announced an improvement in taxation for the self-employed and SMEs, the search for a State pact against tax fraud and has stressed that the temporary taxes on banks and energy companies, which were launched as temporary, will be permanent. However, he has stressed that there will be incentives for energy companies that invest in decarbonization and has given the example of investments in electrical networks.

The head of the Treasury has also assured that the tax on large fortunes will be maintained until a reform of regional financing that adjusts property rates.

Montero has also announced a “tax citizenship” tool so that citizens know what the taxes they pay are used for. Montero has specified that the Treasury will make changes to the Ministry of Finance’s website to adapt this new application.