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City "in 2010 lost 60 million euros" with the local finance reform that provides for the Central Government (31/10/2009)

The National Government reduced total 6,000 million euros in funding for municipalities

Providing municipal financing the State Budget in 2010 will fall by 24% over this year

The Mayor of Murcia, Miguel Ángel Cámara, stressed today that the draft Law on State Budget 2010 (PGE) of the National Government will seriously damage the Municipality of Murcia, as each day is shown.

So, the Mayor referred to the figures provided by the financial vice president, Elena Salgado, who announced their estimated income tax revenue increased by 7.2% and 26% VAT.

Thus, the city of Murcia will fail to receive the next year 1.9 million euros for the first concept (which is a reduction of 15.6%) and another 1.2 million euros in the case of VAT, will cause a reduction of 24.3% over the previous year.

These figures, according to House, Murcia pose for a punishment and a setback to cripple the development of the city.

To demonstrate just stick to own budget, which heralds a decrease in municipal funding for the year to 6,000 million euros, in breach of the commitments made by the Central Government.

Thus, the financing of the Spanish councils will fall by 24% next year for this.

In the case of Murcia, you will receive 60 million euros less than this year, according to the forecast reduction of 24% -.

Meanwhile, the increase in VAT, on the other hand, lead to an impoverishment of the investment capacity of municipalities, with a drop of around 12%.

Thus, with the same amount of money, the municipalities pay 12% less than the increase unacceptable services of VAT.

The mayor added that the rise of 2 percentage points of VAT in 2010 will allow the state more money entering the municipalities, instead of transferring them to tackle our funding.

Source: Ayuntamiento de Murcia

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