cuts

Staff members from Catalonia’s main hospitals, including Sant Pau, Vall d’Hebron, Clínic, Parc Taulí and Germans Trias i Pujol, carried out several protests on Wednesday. Some of these protests had already started a few days ago and might last a few days longer, such as spending the night in the hospital lobby. They are demonstrating to criticise the budget cuts affecting health centres and to defend the public healthcare system. Some of these hospitals are recognised at an international level for their top quality clinical and scientific research work.

Catalonia won’t be able to meet its deficit targets without imposing cuts with “serious consequences” on the welfare state, said the Catalan President on Monday. Artur Mas explained in Parliament that the Spanish Government is forcing him to implement austerity cuts that are “impossible to meet without seriously affecting some basic elements of the welfare state”. Mas added that his government has been making a “very important” effort to reduce spending but blamed Madrid for “suffocating” the autonomous communities and local administrations by imposing very difficult deficit targets on them.

The leader of the Left-Wing Catalan Independence Party (ERC), Oriol Junqueras, has confirmed to the incumbent President of the Catalan Government and leader of the Centre-Right Catalan Nationalist Coalition (CiU), Artur Mas, that they do not want to sit in the Catalan Executive. However, Junqueras guaranteed Mas ERC’s support for approving the main issues, such as Mas’ re-election as President, next year’s budget and the self-determination referendum. In fact, this last point is the ERC’s main condition for the agreement. The CiU had been insisting on the need to make a stable pact with either the ERC or the PSC, after last Sunday’s electoral results, which would include sharing the government responsibilities in such difficult economic times.

The parties defending the organisation of an independence referendum within the next four years increase their support and obtain 64.4% of the seats in the new Catalan Parliament. In addition, the parties clearly defending independence get 54.4% of the MPs. The Centre-Right Catalan Nationalist Coalition (CiU), which has been running the Catalan Government and aimed for “an exceptional majority”, loses 12 MPs thus obtaining only 50 seats in the 135-seat Parliament. The Left-Wing Independence Party (ERC) becomes the second-largest force, increasing the number of its MPs from 10 to 21. The Catalan Socialist Party (PSC) drops from 28 to 20 seats. The People’s Party, which currently runs the Spanish Government, increases their support by 1 MP, obtaining 19 seats. Support for the Catalan Green Socialist and Communist Coalition (ICV-EUiA) grows from 10 to 13 MPs. The anti-Catalan nationalism and left-wing party Ciutadans (C’s) triple their results and obtain 9 MPs. The radical left-wing and independence coalition CUP enters the Parliament with 3 MPs.

Nobody doubts that the Centre-Right Catalan Nationalist Coalition (CiU) will win the elections again, but it is not clear if it will obtain an absolute majority or even lose some MPs. However, these elections are not so much about parties but they have de facto turned into a plebiscite on the Catalan peoples’ right to self-determination and the organisation of an independence referendum. If the parties defending the organisation of a self-determination referendum and independence clearly win the elections as expected, Spain would face its deepest political crisis of the last three decades. Knowing this, the campaign has been the tensest ever, including dirty tricks being played by Spanish nationalists against the CiU. However, many citizens will also vote while thinking about the last two years of budget cuts. Thus, left-wing parties supporting independence are likely to get more support.

For the last 30 years, the Catalan Socialist Party (PSC) and the Centre-Right Catalan Nationalist Coalition (CiU) have been Catalonia’s two main political forces, running the main public institutions and getting electoral results far higher than the rest of the parties. However, in 2006, the PSC started to decline and in the last Catalan elections it obtained its worst results ever, with 28 MPs and 18.38% of the votes. However, the party seems to be continuing its nose-dive and polls predict it could get between 22 and 15 MPs on the 25th of November, which could mean falling from being the second to third or even fourth-largest party in the Catalan Parliament. After a leadership change last December, the party led by Pere Navarro continued to marginalise its more pro-Catalan-identity members in top positions. The PSC defends a federal and pluri-national Spain, while recognising Catalonia’s nationhood.

As opposed to the rest of Spain, the PP is a small party within Catalonia. In the last Catalan elections, they got their best results ever, increasing from 14 to 18 seats in the 135-seat Catalan Parliament and obtaining 12.37% of the votes. In the last elections, the Catalan branch of the PP , led by Alícia Sánchez-Camacho, focused on immigration and the economic crisis. Now, while they are running the Spanish Government and have negotiated many austerity measures in Catalonia, the PP is focusing on fighting the “independence delirium”, as they call it. All its leaders, including Rajoy, are participating intensively in the campaign. The PP presents itself as the “useful vote” to stop Catalonia’s self-determination process, as they think of Spain as not being a pluri-national state. Polls give them between 16 and 19 MPs and they could become the second largest party in the Catalan Parliament.

With 10 MPs and 7.37% of the votes in the last Catalan elections, the Catalan Green Socialist and Communist Coalition (ICV-EUiA) has been the most vocal opposition to the Catalan Government’s austerity measures, despite being the fourth largest party in the Catalan Parliament. ICV-EUiA is trying to attract those who participated in the numerous anti-budget cut demonstrations, as well as those who attended 15-M Movement protests. Polls indicate that the ICV-EUiA might increase their support but are not conclusive as to what extent, as it seems they could obtain between 10 and 16 MPs. Besides the social and environmental agenda, the ICV-EUiA openly supports Catalonia’s self-determination right and the organisation of an independence referendum next term. However, Joan Herrera refuses to say if he personally supports the push for independence, as he says it would depend on the alternatives offered.

The general strike called at European Union level to protest the austerity measures and support a new strategy to deal with the economic crisis will also affect Catalonia, 11 days before the Catalan elections. Despite coinciding with the official election campaign, unions in Catalonia called for a general strike, arguing that the date had been decided at EU level. The Catalan Government and the main unions have reached an agreement on the minimum services to be provided. Public transportation will work at 33% of its capacity at rush hours, but not at all for the rest of the day. Emergency rooms will work as normal and hospitals will continue to offer indispensable treatments and perform scheduled surgeries. Schools will have the presence of between 17% and 33% of the staff guaranteed. Catalan Police will deploy 9,000 officers to avoid any violence.

Chemists in Catalonia had called to go on strike on Thursday because the Catalan Government owed them two payments for publicly funded drugs. According to the Catalan Government, the payments were delayed as they depended on receiving the funds from the Spanish Government’s Liquidity Fund. The Spanish Government announced this week it was transferring €99 million to the Catalan Government to pay the chemists. However, on Wednesday the chemists decided to maintain Thursday’s strike “as a warning signal” for the uncertainty on future payments and because they have not received yet the promised payment.

The German Chancellor is “impressed” with Spain’s reforms. According to Angela Merkel, the reforms are headed “in the right direction”, they need to be pursued “at all government levels” and they will need “time to show their results”, “as it happened in Germany ten years ago” with their structural reforms. Angela Merkel met with the Spanish Prime Minister Mariano Rajoy in Madrid, the day the European Central Bank announced it was buying sovereign bonds. Merkel stated that reforms have to continue “at all government levels”. The Chancellor also defended the European Union as a project guaranteeing peace and prosperity, and the Euro as “our common currency”.

The Catalan Finance Minister, Andreu Mas-Colell, asked the Spanish Government to set up a temporary short-term loan system if the announced Liquidity Fund for the Autonomies is not in place this September. The Catalan Government has been insisting on the urgent need to define and put into force this financial tool to provide the Autonomous Communities with liquidity now their access to international financial markets is impossible as they face unsustainable interest rates. In addition, Mas-Colell stated that it is very likely that more budget cuts will be needed in 2013 to meet the 0.7% deficit target. He also criticised the Spanish Government for imposing stricter deficit objectives for the Autonomies while Brussels gives Spain greater flexibility.

The decision by Spanish Government to restrict access to the public healthcare system could leave 600,000 people in Catalonia (8% of the population) without primary and specialised medical attention. 180,000 of these people would be foreigners. The Catalan Minister for Health, Boi Ruiz, explained that the measure aims to guarantee the universal access to healthcare to all the population, independent of their legal status, but at the same time avoid healthcare tourism.

The Catalan Government stated it will meet the 1.5% deficit target for the Autonomies, although it considers it to be abusive considering they manage the main public services and the Spanish Government has kept for itself all the flexibility allowed by Brussels. In addition, the Catalan Government and the Catalan economy suffer from a perpetual lack of investment by the Spanish Government, which takes away 8.5% of Catalonia’s GDP each year, a quantity much higher than the deficit target. The day after Catalonia’s request for €5 billion from the Liquidity Fund, there was no recognition of Catalonia’s fiscal deficit at a Spanish or European level. There were only calls to continue with the austerity efforts. However, the Catalan Government warns of a “serious problem” if the Liquidity Fund is not in place on time by September.

Ivan Tibau, the Catalan Government’s Secretary of Sport, emphasises the “great effort” made by the Catalan Excutive to help the High Performance Sports Centre (CAR) and Catalan athletes compete in London 2012. The elite training centre did not receive funding from the Spanish Government for the last two years, amounting to €10.7 million. The Catalan Executive advanced the payment to keep the CAR running. Athletes trained at CAR made up 65% of medals won by the Spanish team at the London 2012 Olympics. Despite this, the Spanish Olympic Committee “closed the door” to the Catalan Government in regards to London 2012.