During a recent meeting, Giorgia Meloni and the Minister of Economy, Giancarlo Giorgetti, urged their colleagues to undertake a real spending review in order to eliminate waste in department budgets. They emphasized the importance of cutting unnecessary expenses to address the lack of funds for the upcoming budget. Giorgetti jokingly mentioned the possibility of using artificial intelligence to cut expenses but also made it clear that if ministers do not make cuts, it will be up to the responsible parties to implement them. Meloni also expressed her personal involvement in overseeing the process and lightened the mood with a joke about questioning the expenses in future meetings.
The government is currently searching for resources for the next budget, which is expected to be around 25 billion euros. With limited funds available, all initiatives, including radical cuts and rationalization of spending, are being considered. The Minister of Economy reiterates that there are few resources and any proposal must have a corresponding offset. The focus is on maintaining the key elements of last year’s budget, such as making the cut in the tax wedge permanent and reforming the three income tax brackets. These measures alone account for 15 billion euros, and additional funds will be needed to extend the tax cut to the middle class. The goal is to secure between 15 and 20 billion euros for these initiatives, with additional resources needed for other priorities, including addressing the issue of low birth rates.
While work on the budget is ongoing, specific numbers are not being disclosed during preparatory meetings. Recently, the government met with various associations focused on family issues, including the Minister of Family, Natalia Roccella, and the Minister of Health, Roberto Schillaci, to discuss the importance of funding for initiatives like a plan to increase birth rates. Today, the Minister of Economy met with the leader of the moderates, Maurizio Lupi, to discuss priorities such as support for businesses, youth, employment, and taxation. The government is aiming to concentrate available resources on key areas like tackling low birth rates and supporting businesses and productivity, while also addressing consumer protection and combating tax evasion.
In light of the challenges posed by limited resources, Minister Giorgetti stressed the importance of reevaluating department budgets and identifying areas where savings can be made. By eliminating unnecessary expenses, the government can free up funds for crucial initiatives like permanent tax cuts and reforms to support families and address low birth rates. The focus is on ensuring that every proposed measure has a corresponding offset to maintain fiscal responsibility. Minister Meloni is closely monitoring the process to ensure that funds are allocated efficiently and effectively to address key priorities such as supporting families, boosting the economy, and improving productivity in Italy.
