October 22, 2020

Catalonia receives 34% more funds than Madrid despite having only 15% more population

The Ministry of Finance has already started the way to present the 2020 budgets and try to end two years of socialist government with the popular accounts of Christopher Montoro. Consequently, he has also communicated to the autonomies the money they will have this year (the calls Delivery on account). It will be 103,001 million euros to be delivered initially, to which 10,955 million of the final settlement of 2018 will be added. In total, 113,000 million euros for the communities autonomous, compared to the almost 108,000 they had last year. This represents 4.6% more funds for the regions, which will begin to arrive in the coming days. However, from the Treasury they indicate that the amount it’s not definitive, it will be updated when this year’s revenue forecasts are known.

As usual, Catalonia will be the Spanish region that receives the most money, with an initial estimate of 21,295 million euros. This is 1,111 million more than the money received last year, 5.5% more. The second place is for Andalusia, with 20,386 million and 3.5% more. The podium closes it Madrid, with 15,865 million and an increase of 5%. In this way, Catalonia receives 34% more money than Madrid, although it only has 15% more inhabitants: 7.6 million people in Catalonia, compared to 6.6 million in Madrid.

The Government indicates that before an unprecedented situation of double budget extension, has chosen “the most advantageous formula for Territorial Administrations within the possibilities offered by the current legal system, in a further example of its commitment to regional financing and essential public services such as education, health or social services ».

However, the autonomies claim that still VAT settlement is still pending December 2017, who did not charge for a change in the information system of the previous Executive. In this regard, the minister Maria Jesus Montero denied that the regions will be compensated for this lag and blamed the PP for having rejected the 2019 Socialist Budgets, which did contemplate mechanisms to attend to this claim from the communities.


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