Catalonia approves record €49bn budget 

The Catalan Parliament has approved President Salvador Illa's first budget with support from the governing Socialists, pro-independence ERC and left-wing Comuns.

All other parties voted against.

The 2026 budget, which totals €49.162 billion, is the first to be backed by the chamber since 2023, ending the longest period in Catalonia's democratic history without a new budget.

The spending plan includes 25 amendments agreed between the three parties during parliamentary committee negotiations and is seen as providing political stability for the minority government, giving it room to complete the legislative term.

The budget includes €893 million in additional spending through supplementary provisions linked to deals with ERC and Comuns – €533 million and €360 million respectively.

Overall spending is up by €9.126 billion on the 2023 budget. Health receives the largest allocation (€13.84 billion), followed by education (€8.356 billion) and social rights (€4.248 billion).

Implement "every euro"

Catalan president Salvador Illa has pledged to implement "every euro" of the budget approved by Parliament.

"With this agreement, Catalonia becomes synonymous with stability, and Catalonia’s future is no longer a promise but a commitment. What must be done now, and what we commit to from the government, is to implement every euro and every policy," he told the Catalan News Agency (ACN) and EFE.

"Vote of confidence"

Finance minister Alícia Romero said the 2026 Catalan budget was a "vote of confidence," and highlighted that 75% of the near-€50 billion spending plan would go towards strengthening the welfare state.

Speaking during the parliamentary debate ahead of the vote, Romero said funding for health, education and social policies amounted to €14bn, €8.3bn and €4.2bn respectively.

She also pointed to an agreement with ERC on a new financing model, which she said would provide an additional €4.7 billion for Catalonia, and expressed confidence it could be approved in the Spanish Congress "very soon."

Fiscal outlook

The government forecasts non-financial revenues of €48.231 billion, up 27.9% on the previous budget.

The bulk of revenue comes from Spain's regional financing system (€32.894 billion), followed by tax revenue (€6.481 billion) and earmarked funds for specific programmes (€7.886 billion).

The budget is based on a projected deficit of 0.1% of GDP, equivalent to €329.6 million.

The finance department expects Catalonia's debt-to-GDP ratio to fall from 28.4% to 27.4%, and further to 22.2% once Spain's Liquidity Fund (FLA) is phased out.

It is the first time Catalonia has approved a budget since March 2023, ending a period of almost three years and four months without a fresh spending plan.

The previous record gap between budgets ran from March 2017, under former president Carles Puigdemont, to April 2020, following Spain's imposition of Article 155, which temporarily suspended Catalonia's autonomy.