Juanfran Pérez Llorca and Finance Minister Arcadi España clash over Valencia funding

The president of the Valencian Generalitat, Juanfran Pérez Llorca, met with Spain's finance minister, Arcadi España, to discuss the long‑standing deficit in the region's financing model, which has been unchanged since 2009. The government’s proposal would add roughly €3.6‑3.7 billion a year to Valencia’s budget, but Pérez Llorca rejected a bilateral negotiation and insisted that any talks occur within the multilateral Committee of Fiscal and Financial Policy (CPFF).

Spain’s Treasury said it would unlock €4 billion already pending for the region through extra and ordinary fiscal advances, but no concrete agreement was reached. The minister indicated the new financing model is slated to take effect on 1 January 2027, pending parliamentary approval, and that the CPFF would meet before the summer break to push the reform forward. The encounter ended without a breakthrough, reflecting a broader standoff between the central government and the Valencian administration over the financing of public services.