The partners of the coalition Government begin to reveal their demands to support the General State Budgets (PGE), after this Thursday they closed ranks with the Executive and rejected in Congress the seven amendments to all registered by the opposition. ERC, PNV and EH Bildu, key allies for the final approval of the public accounts, will now try via partial amendments to obtain new concessions.
The deadline to register partial amendments, a mechanism with which the parties can introduce modifications to the Government’s bill, ended at two in the afternoon this Friday. ABC has had access to those presented by the PNV, which would raise funds for the Basque Country, in the case of being supported by the majority of the Lower House, by more than two hundred million extra euros. In the text that came out of the Council of Ministers, the Executive foresees an investment of just over 489 million euros for the Basque community; 4.5 percent less than in the current Budgets. Insufficient for the nationalists, who have already warned the Minister of Finance, María Jesús Montero, that he has “a long way” to go until the PNV’s ‘yes’.
The nationalists have already wrested from Pedro Sánchez the commitment that, this time – the promise has been dragged by the Government since last year – the transfer to the Basque regional executive of the full management of the minimum vital income will be undertaken. A question whose constitutionality the lawyers of the Social Security doubt, but that served so that Aitor Esteban and his companions did not present their own amendment to the entirety.
VAT for hairdressers
Among the economic demands, the PNV carries the banner of defense of the hairdressing sector. The Basque Group has presented an amendment to the 2022 Budget project to lower the Value Added Tax (VAT) for this union. “Law 37/1992 of December 28 on Value Added Tax is amended (…) to apply the reduced rate of 10% to hairdressing activities”, which also include barbershop and aesthetics.
The justification they make goes through the same argument under which they have tried all these last months to undertake this measure: “This is one of the sectors most affected by the pandemic, consisting mainly of female employment. In addition, they are services widely demanded by the public that were even declared essential during confinement.
The truth is that this is a claim that comes from the reopening after the 2020 confinement. It was already tried to be in the anti-fraud law a few months ago, but finally the proposal fell due to the rejection of the PSOE, specifically of the then president of the Senate , Pilar Llop, who maneuvered so that it did not go ahead.
Several weeks ago, also in the Senate, an initiative of the PP in this same sense was approved and that again counted on the opposition of the main government party. Now, the PNV, as a partner of the Executive regarding the Budgets, demands with its amendment that what the sector has been demanding for a year be fulfilled.