Murcia and Valencia would lead funding increase under new Government proposal

The revision of the regional financing model would especially benefit the most disadvantaged communities, with an estimated increase of 13.35% for Catalonia.

Representació abstracta de balanços econòmics o gràfics de creixement financer regional.

Representació abstracta de balanços econòmics o gràfics de creixement financer regional.

The central Government will present this Wednesday to the autonomous communities a financing revision project that foresees an increase of 20,975 million euros, especially benefiting Murcia and the Valencian Community.

The draft revision of the regional financing model, which the Government plans to present to the communities, would significantly benefit the autonomies most harmed by the current system. According to calculations, the largest percentage increases compared to current resources would be registered by the Region of Murcia (nearly 19%) and the Valencian Community (around 17%).
Secondly, other territories such as Castilla-La Mancha, Andalusia, and Catalonia would also experience substantial improvements, with estimated increases between 13% and 13.5%. These communities, along with Aragon and Madrid, were the ones that received the lowest financing per adjusted inhabitant during 2023, the last year with complete data available.

"The Generalitat has estimated that the increase in resources for Catalonia under the new financing system would be 13.35%."

Generalitat de Catalunya · Regional Government
The Government's proposal, which would involve a total distribution of 224,507 million euros to the autonomies in 2027, implies a global increase of 20,975 million compared to the current system. This revision, however, seems unlikely to proceed without the opposition of parties like the PP and Junts. The First Vice President and Minister of Finance, María Jesús Montero, has so far avoided revealing key data to "avoid calling for territorial grievances".
This revision aligns with the position of communities that have historically been below the average financing per adjusted inhabitant. According to a Fedea study based on the 2023 settlement, Murcia (3,120 euros) and the Valencian Community (3,141 euros) were significantly below the average (3,390 euros), while Catalonia was slightly above (3,456 euros).
It should be noted that the President of the Government, Pedro Sánchez, held several private meetings with the leader of ERC, Oriol Junqueras, before the official meeting on January 8, where the new financing was agreed upon.
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