The political party Junts per Catalunya has called on the Catalan government to withdraw and completely redraft its proposed 2026 budget. They argue that the escalating war in the Middle East has rendered the financial plan obsolete even before its approval.
Your browser does not support the video tag.
Speaking at a press conference on Monday, Junts spokesperson Josep Rius declared the current budget proposal “outdated”. Its economic assumptions, he explained, were made prior to the start of the Israel-Hamas war on October 7, 2023. Rius insisted the document fails to account for the growing economic fallout from the conflict.
“It does not foresee the consequences of what can and is starting to happen in the economy and in the pockets of Catalans,” Rius stated, according to a report by Europa Press. “These are budgets that are already outdated before they are even approved.”
The Economic Shadow of Conflict
This call for a revision highlights growing concerns about the ripple effects of international instability on the local economy. The conflict has already prompted worries among Catalan business leaders about its potential toll on SMEs and has required the evacuation of some Catalan citizens from the region. Junts’ position suggests that a budget designed for a different geopolitical reality cannot adequately address potential supply chain disruptions, energy price volatility, and inflationary pressures facing Catalan households.
While Rius expressed doubt that the Socialists (PSC), who lead the coalition government, would actually withdraw the bill, he maintained that a complete overhaul would be “the most reasonable thing” to do. The current draft, steered by President Salvador Illa, proposes record spending of around €49 billion, including a significant €1.9 billion investment in housing.
Political Impasse and Alliance Under Fire
The budget’s passage through parliament is already on a knife-edge. Illa’s government has secured a crucial agreement with the left-wing Catalunya en Comú (Comuns), but it still lacks a majority and is negotiating for the support of the Republican Left of Catalonia (ERC).
Junts used the press conference to heavily criticise the government’s reliance on the Comuns. Rius accused the PSC of capitulating to the smaller party’s demands, which he claimed the Socialists “would not defend, and did not defend, during the campaign.”
“There is an absolute subordination,” Rius reproached, lamenting that the six deputies of Jéssica Albiach’s party were effectively deciding major policies for all of Catalonia.
Junts placed the responsibility for any potential budget blockage squarely on the shoulders of the Socialists, ERC, and the Comuns, arguing the government has cornered itself and must now make a significant course correction.
The Specter of Early Elections
The stalemate carries high stakes. Rius warned that a failure to pass the budget could destabilise the region and lead to a snap election in Catalonia, with potential knock-on effects for the Spanish general government.
He issued a sharp warning directly to President Illa, who took office promising a new era of stability for the Generalitat de Catalunya.
“If Illa calls early elections, it will be the culmination of his failure,” Rius concluded. “He came to the Generalitat promising stability and will have led one of the shortest legislatures in history.”
As negotiations continue, the government faces mounting pressure not only from internal political factions but also from a rapidly changing global landscape that threatens to undermine the very foundations of its economic planning.
