Pedro Sánchez's tactical move

Madrid"Caviar for Catalans and a set menu for the rest of Spain." PP councilors appeared indignant outside the Ministry of Finance, railing against the proposed new financing model which, they claim, only grants "privileges" to Catalans. parade of statements This shows that it will not be easy for the Spanish government to implement the new model in which, according to regional PP leaders, Oriol Junqueras decides where the resources of the people of Murcia, Extremadura, Madrid, Andalusia, etc., go. However, the Minister of Finance, María Jesús Montero, has reserved a point for the Fiscal and Financial Policy Council: has offered to the communities that, if they find the new financing model so unfair (even though they all gain slightly more than now), they can opt out and remain under the current system. That is, it will be voluntary. Although this was also the case in 2009, Montero's statement this Wednesday is a challenge to the PP.

What does this imply? The minister is trying to defuse the main argument of the Popular Party, which is that Sánchez and Junqueras are subjecting them to a new distribution without consulting them. In other words, she is telling them that if they don't like it, they don't have to participate and can stick with the old system.

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If some opt out of the improvements, the Treasury will save money: the new system is mainly based on the State adding an extra 21 billion euros to the financing of all the autonomous communities. The more governments that opt out, the less money the State will have to contribute.

The PP's position

What will the PP do? Here are the interests of the males And Alberto Núñez Feijóo's views diverge: while the leader of the People's Party needs to project a frontal opposition to Pedro Sánchez, his regional leaders would actually benefit (despite what they say) from being able to enjoy the new model, provided it is approved in Congress (which will depend on Junts). The fact that Montero is now proposing it as voluntary and requiring explicit adherence complicates the narrative in Genoa.

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In fact, it's the same tactic the Spanish government used with the debt forgiveness from the FLA (Regional Liquidity Fund), which must soon go through Congress and which the PP has also opposed (its advisors even boycotted it). Montero at the Fiscal and Financial Policy CouncilIf it is approved in the Spanish parliament—which will also depend on Junts—participation will be voluntary, so the Spanish government will force the PP-governed regions to explicitly request it and contradict the political narrative they have maintained until now. Montero has made a pact with Esquerra to forgive the Generalitat 17.104 billion euros, but also the rest of the autonomous communities: Andalusia in would be the one who benefited the most with the forgiveness of 18.791 billion euros, as well as the Valencian Community and Madrid.

The difficulty of Sánchez's objective

Pedro Sánchez's underlying objective is to convince voters that the People's Party (PP) is acting against the funding of public services, especially healthcare and education, which are managed by the autonomous communities. The narrative that Moncloa (the Prime Minister's office) wants to take hold is that the PP is sacrificing resources for the welfare state when it vehemently opposes the Regional Liquidity Fund (FLA) or the new funding model. In fact, this is the argument that Pedro Sánchez has used. when defending the new model

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Now, it's very difficult (almost impossible) for the Moncloa Palace to get its way. In the debate about the distribution of funds, it's deeply ingrained in Spain that Catalonia not only doesn't lose out but actually steals from the other autonomous communities, despite its historical fiscal deficit and the fact that it has traditionally been the most disadvantaged by funding, along with the Valencian Community and the Balearic Islands. Just listen to all the voices, not only from the PP but also from the PSOE, that bombard citizens throughout the country with this narrative every day. That's why it's complicated that, no matter how many tactical maneuvers Pedro Sánchez makes, the Moncloa Palace can convince anyone that what was agreed upon with Salvador Illa and Oriol Junqueras could benefit anyone beyond the Generalitat. And the great paradox is that what generates a major revolt in the rest of the country always seems insufficient from Catalonia's perspective.