Sant Cugat announces “very important adjustments” to reverse a deficit of 25 million euros

“A predictable hole.

Oliver Thansan
Oliver Thansan
24 September 2023 Sunday 22:55
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Sant Cugat announces “very important adjustments” to reverse a deficit of 25 million euros

“A predictable hole.” “A tough and unprecedented situation that must be reversed.” “The worst figures in the history of this city council.” These are the words of the Deputy Mayor of Economy of Sant Cugat, Carles Brugarolas, after discovering that the City Council has a deficit of more than 25 million euros. It is the inheritance that the current government (Junts per Sant Cugat and ERC) has received from the previous tripartite, ERC, PSC and the CUP. The new government has reiterated its commitment not to increase the tax burden and regrets “the consequences that citizens will inevitably suffer in the coming months,” which will take shape in the coming weeks.

The City Council estimates the gross savings at -4.49%. This is a situation that, together with the more than 9 million deficit in 2022 and a gross saving, also negative, of -2.3%, has led the City Council to be supervised by the Generalitat and apply a sanitation plan that It will involve “very important adjustments.”

Brugarolas has announced that obligations, social spending and commitment to entities will be maintained. But he has clarified that “these are moments to “rethink services and activities, innovate and make brave decisions.”

Brugarolas recalled that this "hole" was foreseeable and the previous head of the Economy, Pere Soler (PSC), had been warned. Of course, the deputy mayor wanted to avoid reproaches towards the previous government and has assured that we must "look forward" to find solutions.

"We will review everything that is not obligations," stated the head of Economy, who has given as an example that Christmas activities, the Mira-sol Center entrepreneurship center or the balance in tax credits will be affected without this implying greater pressure for citizens.

The Sant Cugat City Council plans to close 2023 with 'the worst figures in democratic history. In the last two years, it has spent more than it has earned. That is, spending has increased significantly while municipal revenues have fallen, mainly as a result of changes in capital gains.

In figures, the mayor detailed that, between 2020 and 2023, current income decreased by 0.3% compared to the previous four years, while current expenses increased by 15%. An imbalance that is not included in the municipal budget, extended from 2022, and that by the end of this year generates a negative balance of more than 5 million euros.