The Minister of Finance, Arcadi España, has communicated this Monday to the 'president' of the Generalitat, Juanfran Pérez Llorca, in a meeting at the Palau, that the Government's Delegated Commission for Economic Affairs (CDGAE) this afternoon will give the green light to 4,000 million for the Comunitat Valenciana: 1,904 million euros from the ExtraFLA and another 2,126 million from the ordinary FLA corresponding to the third quarter.
At the same time, he criticized that the head of the Consell "is looking for excuses" not to enter into negotiations for the new regional financing system by conditioning the dialogue to its celebration within the framework of the Council for Fiscal and Financial Policy (CPFF). In his opinion, in the autonomies governed by the PP "they are not allowed to sit down to negotiate".
"And I ask him that if the decision is between (the national president of the PP) Feijóo or the Comunitat Valenciana, that he decide for the Comunitat Valenciana," Arcadi España has stated. The head of Finance first met with the president of the Generalitat at the Palau and, subsequently, with the general secretaries of UGT PV, Tino Calero, of CCOO PV, Ana García, and the president of the CEV, Vicente Lafuente, at the Government Delegation in València. After this last meeting, he made statements to the media.
Arcadi España also detailed that the Generalitat will receive 344 million from the EU Solidarity Fund to alleviate the damage caused by the 'dana' that on October 29, 2024, caused 230 victims in the province of Valencia. This is 52 million additional to what was initially planned, as the Executive has assigned to the Generalitat "the resources that could not be absorbed by local entities," according to sources from the Ministry of Finance.
"You cannot say no to 3,669 million"
The minister stressed that the Government's proposal to reform the regional financing model would amount to 3,669 million euros for the Comunitat Valenciana, "more than double" the 1,782 million that Llorca conveyed to the President of the Government, Pedro Sánchez, in the meeting they held last December.
He emphasized that "you cannot say no to 3,669 million euros because they tell you to from Génova street." "I hope that if the decision is between Feijóo or the Generalitat Valenciana, the president of the Generalitat will be on the side of the Generalitat Valenciana and the more than 5 million Valencians," he added.
In this regard, he defended that "it is time to rise to the historical circumstances, to guarantee the structural viability of our accounts. It is not a time for partisanship or short-term thinking. We must sit down, negotiate, and agree," he insisted.
The largest funding "in history" for the Comunitat
España also explained that the update of advance payments included in the Royal Decree-Law approved by the Government will mean a "record figure" of 14,993 million euros for the Comunitat Valenciana. For this reason, he called on Llorca to urge the PP "not to reject this measure for the third time," after voting against it in January and February, and to "support the validation of the RDL this Thursday in Congress" on this occasion.
The head of Finance stressed that this year the Comunitat "will receive the highest figure in the history of the Generalitat Valenciana in funding" from the Government of Spain, up to 26,622 million euros through various instruments.
In this context, Arcadi España indicated that, after his meeting with the President of the Generalitat, he maintains two issues "that have not been formally resolved." "The first is about the reasons for not wanting to sit down to negotiate with the Government of Spain on the model" and, secondly, what use the Consell is making of the "greatest resources in history." Thus, he raised the question of whether they are being oriented towards "privatization" and "tax cuts for the wealthy."
"They are not allowed to sit down to negotiate"
When questioned about the convening of the Council for Fiscal and Financial Policy (CPFF) and about Llorca's statements, who assured that the Comunitat Valenciana is open to negotiating the new model but demands that it be in the CPFF with "everyone together at a table," España reproached that "they do not sit down to negotiate because they are not allowed to sit down to negotiate. That is the tragedy we have on the table now regarding the regional financing model."
In his opinion, Llorca "is looking for excuses, unfortunately," he censured, and called for "sitting down to negotiate technically, as many times as necessary, and, of course, in bilateral or multilateral bodies."
"If we had done it the other way around, if we had taken it directly to the CPFF, they would have said that they needed to dialogue community by community," he pointed out. España has asked that "they do not look for excuses for something essential" and has defended that meetings should be held first to analyze the "obvious differences" of each autonomous community and, subsequently, the model should be addressed "among all" in the Fiscal Policy Council.
Regarding the calendar, he reiterated that the Executive's intention is for the new financing system to be in force in January 2027. He detailed that the meetings with the communities "that have accepted the invitation to dialogue" start this week with the Canary Islands, and that the forecast is that, afterwards, the CPFF will meet, something that "could be before summer." Then, the model would be approved in the Council of Ministers and would begin its parliamentary processing.
Asked if the Government trusts its partners to move forward with the new financing law with support such as that of Junts, Arcadi España stated: "I do not rule out anyone's vote. We are now dialoguing the institutional part with the autonomous communities. I am not giving up on reaching a broad agreement on financing with the PP."
"What I cannot understand are attitudes like those of the Popular Party or the Valencian Generalitat, which do not even want to sit down to dialogue," he lamented.
Debt write-off and rejection of the equalization fund
España also recalled the "opportunity" for the Valencian Community to "reduce its debt by 11.210 million with the approval of the write-off that is being processed in Congress at the proposal of Pedro Sánchez's Government."
In relation to the request from both Llorca and the economic and social agents to implement a transitional equalization fund, Arcadi España stressed that, as there is a proposal for the debt to be forgiven on January 1 and a new model to come into effect, "an equalization fund is not necessary."
"What is necessary is to agree on a model" and to face the "structural problem," he indicated, before demanding that "we do not confuse debates" because "now we have to focus on the debt forgiveness being approved in the Congress of Deputies and also the regional financing model."
The Consell criticizes the delay of the FLA
On the other hand, sources from the Ministry of Finance have insisted that the 4 billion euros between the extraordinary FLA and the ordinary FLA mentioned by Minister Arcadi España "in no case represent a contribution of money for the Valencian Community, as they are only an authorization for the Community to incur more debt and, on top of that, it arrives late".
Along these lines, from the Ministry of Finance they have stressed that until 2024 the FLA was approved in December, "a dynamic that the then Minister of Finance, Mª Jesús Montero, changed, who in 2025 already delayed it until July and who now emulates Arcadi España, also delaying the approval until July".