Regional funding

Montero's funding model puts Ayuso on the warpath.

The president of the Madrid region accuses the vice president of the government of "dismantling the fiscal autonomy" of the autonomous communities.

The president of Madrid, Isabel Díaz Ayuso.
Mireia Esteveand Roger Palós
18/11/2025
3 min

BarcelonaMaría Jesús Montero has set a date for the presentation of the new financing system, but has not yet detailed what the new model will entail. However, this has not prevented the president of the Madrid region, Isabel Díaz Ayuso, from launching a scathing attack against the Spanish government, which she has accused of "dismantling the fiscal autonomy" of the autonomous communities. Ayuso made this statement in response to Montero's explanation on Monday that the new model aims to take into account the "fiscal responsibility" of the regions. as explained by the ARAIn other words, she wants to "discourage tax dumping" by Madrid. For the president of the Madrid region, this would "stifle" the Community of Madrid as the "engine of the Spanish economy."

"The government, through Vice President Montero, made it clear that things can't go well for the capital of Spain. Therefore, inequality must be created, a unique financing framework, for example for Catalonia, a privileged one, and the region that contributes 20% of the Spanish economy must be literally paralyzed. The engine of Spain has been declared dead. As this newspaper detailed, negotiations between the Treasury and ERC are considering two ways to try to limit Madrid's aggressive low-tax policy. On the one hand, by introducing corrective elements into the common tax regime model, and on the other, with a broad tax reform including anti-dumping measures.

For now, Montero has not yet specified exactly what elements will be introduced. In fact, this Monday she stated that they are still studying it. However, sources at Moncloa Palace reiterate that the Vice President's intention is to introduce the principle of ordinality in some way into the new model. Be that as it may, Ayuso has once again attacked the Spanish government for what she considers Concessions to Catalan separatism on financing. "The separatists and the current Catalan government, which are one and the same, are not acting out of love for Catalonia, the Catalonia of us all, imitating what works well in the rest of Spain, as is happening in Madrid, but with hatred for everything we are doing here," the Madrid president stated. "This is nationalism, hatred of those who are foreign and of those who are one's own," she emphasized, before returning to defend her low-tax policy.

Together they see it as "scandalous"

Alongside Ayuso, Junts has also been outspoken in its criticism of Montero. The party's vice president, Antoni Castellà, called it "scandalous" that the Ministry of Finance had decided to postpone the announcement of the new financing model until January and denounced the breach of deadlines. In a video distributed to the media, Castellà recalled that both the Spanish and Catalan governments "committed" to presenting the new model before the end of the year. "There isn't even a new model, and the minister is already announcing that it will be both multilateral and bilateral," the Junts leader said. In his opinion, it is "exactly the system we have right now." Meanwhile, ERC, the party negotiating this new model with the Ministry of Finance, views it favorably. The Republican spokesperson in the Catalan Parliament, Ester Capella, defended the Catalan special financing model, stating that it "is moving forward and progressing," but that "there's no need to rush" because she prefers "a good agreement." She invoked a popular saying: "We won't say anything until it's in the bag and well tied," she said. Furthermore, she emphasized that her party will not open "new chapters" until the financing is finalized and, therefore, will not negotiate the budget until January, when the model is presented. "That's what we've done so far and that's what we're going to do," she insisted. Along the same lines, the government spokesperson, Silvia Paneque, defended the "step forward" she believes was represented by Montero setting a timetable on Monday for presenting the new financing model, which she anticipates will take place in January and February of next year.

For their part, David Cid, spokesperson for Comuns in the Catalan Parliament, has labeled Junts and PP as "parties dolls"For their opposition to the new financing model for Catalonia, following the 'step forward' taken by the Fiscal and Financial Policy Council on Monday. 'Don't throw a wrench in the works,' he said at a press conference. Meanwhile, the CUP merely lamented that 'there cannot be a specific arrangement for Catalonia,' according to MP Laure Vega, and that the PSOE, while insisting that 'maximum sovereignty' is necessary, was also criticized."

On the pro-Spanish benches, Vox's analogy was harsh, attributing the PP's opposition to special financing as an affront to Catalonia: "We don't understand how they can defend the Basque and Navarrese special arrangements while denying special financing," said Garriga. Aliança Catalana responded that it distrusts any new model and declined to comment on the Fiscal and Financial Policy Council. "Not particularly," said the communications secretary, Lluís Areny.

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