Spanish Football Broke
Although this isn’t a new story per se (the debt has been accumulating over the years), it is a headline once more as the Spanish football league currently owes 752 million euros to the Tax Office. The Premier League owes the most at 500 million euros, with the remainder being shared by the lower leagues.
This number is 150 million more than was owed four years ago. Real Madrid and Barcelona are the worst offenders, but not even their huge crowds, sponsorships and TV deals are enough to right their wobbly boats. Players like Ronaldo with their massive salaries and perks are helping to bankrupt the league that already has 6 clubs under bankruptcy protection.
Spain is now asking everyone to contribute to fight against the crisis, so now maybe it’s time that our national sports treasures also pulled their weight.
Fiscal Insubordination
Up in Catalonia the city of Gerona has voted in favour of a motion whereby they will cease to pay their taxes to the Spanish Tax Office; instead they will be paid directly to the Catalan Tax Office. This is a protest against what is seen to be the unjust financial appropriation on the part of the Spanish authorities, something Catalonia has been complaining about for years.
The motion’s supporters claim that Catalonia’s economic future is in danger from the current regulations. Several other towns have joined Gerona in this move. The local PP party voted against the motion, as is natural, but that was not enough to stop it.
No Impact at All
Rajoy’s new PP government had committed themselves to a reduction in the deficit, to bring it down to 5.8 per cent (from its current 8 point God knows what per cent). This represented cuts of 30 billion euros. But then Brussels went on the attack and demanded it be brought down to 5.3 per cent, meaning a further 5 billion euros slashed.
Both of these figures are way above the previously agreed-upon figure of 4.4 per cent, which means that Brussels will no doubt fine Spain in the near future. Minister of the Economy, Luis de Guindos, when asked what this 5 billion extra would mean vis-à-vis the Spanish economy, replied, “No impact at all.” If I had been a reporter and present I would have asked him, “Then why wasn’t the 5.3 per cent figure chosen originally?” These dupes think we are the dupes.
Anyway, although Brussels seems to be letting Spain get away with this for now, seeing as Spain is in a recession, is heavily indebted, and has the highest unemployment rate in the glorious EU (ie, it is jodido), it is still watching all from on high: other countries, in lieu of Spain’s treatment, are looking towards Brussels for similar fiscal leniency. To cut a long story short: we are all doomed if we continue with the Europe only a few have actually chosen.