Spain's proposed autonomous financing reform faces opposition from regional governments

The Spanish Ministry of Finance has sent a 70‑page draft of a new autonomous‑community financing model to all regions, proposing higher transfers, a larger share of IRPF and IVA revenues and a reduction of inter‑regional funding gaps. The draft will be debated at the Council of Fiscal Policy and Finance (CPFF) on 29 July, after a technical meeting of the ministries.

Catalonia’s president Salvador Illa defended the proposal, saying it improves funding for every community and urged the PP‑run regions to discuss it “with serenity, responsibility and numbers”. He also awaited a clear ruling from the EU Court of Justice on the amnesty law, hoping it will be applied “without delay”.

Regional leaders from Asturias, the Balearic Islands, Castilla‑La Mancha, Galicia, Valencia and Madrid criticised the draft as unfair, a “betrayal” or a scheme that favours Catalonia, which they claim would receive about 22 % of the total resources. PP figures such as Juan Fernández (Catalonia) and Isabel Díaz Ayuso (Madrid) called the text “deeply illegal” and “designed for independence”. Junts per Catalunya announced it will oppose the deficit path in the upcoming state budget, while the PP of other regions signalled they will vote against the model.

The debate reflects a broader political clash over fiscal autonomy, the role of the ERC‑Catalonia pact that underpins the proposal, and the pending EU judgment on the amnesty law that could affect high‑profile separatist figures.