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Sánchez and Junqueras Strike Financing Accord Promising Catalonia €4.7 Billion and Ordinality

Passage requires an absolute‑majority after CPFF review — the IRPF transfer demand remains unresolved.

Overview

  • The Finance Ministry is set to unveil the model’s technical details today before taking it to the Council of Fiscal and Financial Policy next week.
  • Turning the pact into law entails modifying LOFCA and related statutes, clearing Congress with 176 votes, and facing a PP‑controlled Senate that the lower house could still override with the same absolute majority.
  • The agreement excludes full IRPF collection by Catalonia for now, and ERC warns it will not negotiate state or regional budgets until that issue is addressed.
  • Junts rejects the plan for falling short of a Basque‑style concierto, while the PP and several regional governments, notably Andalusia’s, denounce the bilateral approach.
  • The government says the design is generalizable and that no region will receive less; some reports cite an overall system injection of roughly €18 billion, a figure not formally confirmed.