Balearic finance minister, Rosario Sánchez, said on Wednesday that she is more in favour of "fine tuning" direct aid rather than a reduction in personal income tax. She was responding to the announcement by the president of Valencia, Ximo Puig (of PSOE, like Sánchez), of tax cuts for incomes under 60,000 euros.
In this regard, the Balearic government is said to be lining up measures for aid to people in situations of vulnerability and for businesses.
President Armengol stated on Wednesday that "we will never lower taxes on the rich at the expense of working families; that is not our approach". She added that the government will be "listening to employers and unions" in establishing relief measures.
On Tuesday and Wednesday next week, the Balearic parliament will debate general policy. The economic situation and measures to deal with it will be central to this debate, which has added significance given that elections are coming up in May next year. It comes at a time when a report from the Consumers and Users Organisation has highlighted the fact that the average shopping basket, in Palma at any rate, is more expensive than any other 65 provincial capitals and large cities in its survey.