La Palma Demands Fiscal Flexibility and Treasury Remnants Mobilization Amidst International Crisis

The president of the Cabildo de La Palma, Sergio Rodríguez, urges the Spanish Government to exempt the island from fiscal rules and release funds to address the rising cost of living.

Generic image of a hand signing a document, symbolizing political agreements.
IA

Generic image of a hand signing a document, symbolizing political agreements.

The president of the Cabildo de La Palma, Sergio Rodríguez, has urged the Spanish Government to exempt the island from fiscal rules and allow the mobilization of its treasury remnants to combat the impact of the international crisis and the high cost of living.

Rodríguez argues that while fiscal flexibility was crucial for post-volcanic eruption reconstruction, the current global crisis, exacerbated by the conflict in the Middle East, makes this measure “imperative.” He emphasizes the need for local administrations to utilize their own resources to alleviate economic pressure on families.

"It makes no sense to keep savings blocked in the bank while families suffer from rampant inflation. If we were already asking for flexibility due to the volcano situation, now there is even more reason because of the effects of the war."

Sergio Rodríguez · President of the Cabildo de La Palma
The president of La Palma positively assessed the recent agreement between the Government of the Canary Islands and the State to activate anti-crisis measures, which includes an initial compensation of 15 million euros. However, he stressed that this progress should be a starting point and not a reason for complacency.
For Rodríguez, it is essential for the State to go a step further, allowing La Palma to mobilize its treasury remnants without restrictions and access responsible borrowing without penalties. He also insisted on the urgency of an IRPF reduction to counteract the loss of purchasing power in the archipelago.
Furthermore, Sergio Rodríguez highlighted the particular situation of the Green Islands, where the increase in hydrocarbon prices has a more severe impact. Therefore, he requested specific fuel subsidies for these islands and direct aid for transport, the primary sector, and small local businesses.

"We are facing a challenge of survival. The State must understand our fiscal and territorial singularities, allowing the Cabildo's financial autonomy to become the tool to protect our people against this international challenge."

Sergio Rodríguez · President of the Cabildo de La Palma