Fresh data shows Catalonia near bottom of list in investments per capita from Spanish government

Catalan authorities denounce "inefficiency" of economic model amid political debate

Catalonia's acting minister for finance, Natàlia Mas, attending a Fiscal Policy Council meeting in Madrid
Catalonia's acting minister for finance, Natàlia Mas, attending a Fiscal Policy Council meeting in Madrid / Roger Pi de Cabanyes / Miquel Vera
Catalan News

Catalan News | @catalannews | Barcelona

July 26, 2024 02:12 PM

Data released by the Spanish Ministry of Finance shows that Catalonia remains at the bottom of the list in terms of funds received from the state per inhabitant, despite being among those that contribute the most.

The data released on Friday show that in 2022 Catalonia was the territory that contributed the third most to state coffers, but was tenth in terms of resources received. Each Catalan contributed an average of €3,565 but received €3,264 back in investments.

In addition, if the cost of living is taken into account, the total resources received falls to €3,043 per capita, placing Catalonia 14th in the list, ahead of only Madrid.

The economic model of Catalonia's financing with regard the central Spanish government and collection of taxes has been a topic of discussion in the political talks for the next Catalan government, with pro-independence parties demanding a new financial model

Despite being the third territory to contribute income per capita, 17.5% above the average, the subsequent redistribution placed Catalonia 2.3% below the average levels - a drop of almost 20 percentage points.

This difference is further accentuated, up to 26.4 percentage points, if the cost of living is taken into account.

Catalan officials denounced the "inefficiency" of the economic model, which underestimated Catalan revenue by more than €4.3 billion.

Catalonia's Ministry of Economy and Finance considers that Spain's system of fiscal advances and settlements is "complex and not very transparent," and criticizes that the Spanish Ministry estimates the collection of each territory and does not settle the real amounts until two years later harms territories like Catalonia.

FOLLOW CATALAN NEWS ON WHATSAPP!

Get the day's biggest stories right to your phone