Alberto Núñez Feijóo hosted a council of eight regional presidents in Santiago in November 2021, while he was still in charge of the Xunta. The forum was attended by five PSOE presidents, one from the PP, and one from the Regionalist Party of Cantabria, in addition to Feijóo himself, with common interests in mind. The main topic of discussion was the reform of the regional financing system, which was already expired at that time and still pending renewal today due to lack of consensus. Feijóo, now the leader of the PP, will gather his 11 territorial presidents on September 6 for another major meeting, with regional financing once again at the forefront. He aims to come out of the meeting with a “united front” against the government of Pedro Sánchez due to the pact between the PSC and ERC. However, the disagreements among the PP-governed regions anticipate difficulties in making a joint proposal. Andalucía, Galicia, and the Balearic Islands have different demands, leading to a complex situation.
After the agreement between the PSC and ERC for a unique financing system for Catalonia as a condition to appoint Salvador Illa as president, the PP regional presidents have strongly criticized the “constitutional mutation” that it represents. Feijóo stated in an interview that their barons will try to design a strategy of frontal opposition to the unique financing system. The PP leader urges his colleagues to “prevent inequality in healthcare, education, and public services” that he believes will result from the future Catalan Tax Agency. The challenge for Feijóo lies in how to unite all his communities with different specificities and demands. The Minister of Finance, María Jesús Montero, aims to negotiate with the PP when presenting a joint proposal for the reform of the regional financing law (Lofca). However, the regions remain firm in their own demands, making it difficult to reach a consensus.
Different regions such as Andalucía, Valencia, and Murcia demand an urgent redesign of the financing system, emphasizing factors such as the cost of services per inhabitant and the population dispersion. Other regions, affected by aging and depopulation like Galicia, Castile and León, and Extremadura, also seek adjustments in financing based on demographic and geographical considerations. Madrid, the Balearic Islands, and Catalonia, traditionally net contributors to the common fund, support the principle of ordinality to correct inequality while maintaining the per capita ranking of resources. The PP is working with its regional finance ministers to draft a common roadmap, but unifying regions with asymmetric idiosyncrasies remains a challenge.
The PP plans to work towards a united front against the agreement in Catalonia at the meeting on September 6, rather than seeking common ground. Getting all regions of the PP to support a reform of the financing system poses a complex puzzle given the different problems and obstacles faced by each territory. However, they all agree on the need for a multilateral negotiation process. Feijóo, who recently underwent surgery for a detached retina, praised the territorial strength of his regional governments and highlighted the PP as the only alternative for change in Spain. Without a common approach among all PP regions to push for the reform of the financing system, their territorial muscle may lose strength.
In conclusion, the regional presidents of the PP face challenges in consolidating a unified stance on the reform of the regional financing system due to the diverse demands and interests of each territory. The meeting on September 6 will focus on opposing the agreement in Catalonia rather than seeking a common proposal. While the intention is to present a united front against the government’s actions, coordinating the different needs of the PP-governed regions remains a complex task that requires a multilateral negotiation process. Feijóo’s leadership and the strength of the regional governments within the PP will be crucial in navigating these challenges and pushing for a reform that addresses the various concerns of all regions.
