Overview
- The Council of Ministers approved a real decreto-ley that updates 2026 entregas a cuenta, allocating €157.731 billion in advance payments and raising total system financing to €170.3 billion when the 2024 liquidation is added, a move announced on Tuesday.
- The measure creates an exceptional rule allowing local governments to use 2025 surpluses for Inversiones Financieramente Sostenibles and to apply remanentes from 2025 through 2029 to housing projects, a change expected to let about 2,544 local entities channel roughly €3.168 billion into investments.
- The Ministry of Hacienda said the decree is a bridge toward a reformed financing model and has asked parties, especially the People’s Party, to support parliamentary convalidation after similar updates were twice rejected when bundled into other legislation.
- The government has begun arranging bilateral meetings with each region, led by Secretary of State Jesús Gascón, to negotiate a new autonomous financing system slated to take effect on 1 January 2027.
- Regional governments welcomed higher resources but criticised the timing and details: Castilla y León noted a €16 million downward adjustment and its officials said delayed payments left them short about €160 million per month earlier this year, which they say strained public services.