The public deficit fell to 4.8% in 2022 with record revenues

The Spanish economy concluded 2022 with 4.8% deficita year marked by a strong influence inflation and spending to resolve anti-crisis measures with which an attempt was made to stop the coup d’état war in Ukraine about families and jobs.

The figure is two tenths higher than the expected 5% that the Government committed to Brussels. “This is good news to convey, which shows that although tax rules are suspended The government has not given up on the principle of budgetary responsibility”, he pointed out Maria Jesus MonteroMinister of Finance.

Those two tenths that the number fell in comparison to the predictions are those for which the Government estimates that it has a reserve in case it needs to be expanded anti-crisis measures after June or take new ones, although the Treasury excludes the assessment of this possibility for the time being.

Much of the improvement in the deficit comes from hand tax collection, which repeated last year at record levels, with 255,463 million euros, 14.4% more. It’s recent Bank of Spain it is estimated that about half of this increase corresponds to the impact inflation about income. However, during the presentation of the data on the execution of the budget, Montero defended himself that “only a third of that increase is due to inflation», reminding that behind the increase in billing is the improvement of the quality of employment, wages and business benefits.

Montero explained that the measures adopted by the Government to mitigate the effects of inflation had an impact on public accounts of around HRK 22,000 million. Of this, about 8,000 million correspond to lower tax revenues (due to measures such as the reduction of VAT on gas and electricity), and about 14,000 million to spending measures, such as fuel bonuses (5,752 million), assistance to households (6,216 million) or economic sectors (1.755 million).