Business · Economy · 23 hrs ago

Italy’s budget plan faces criticism from unions, insurers and municipalities

Italy’s budget plan faces criticism from unions, insurers and municipalities

Italy’s budget plan is facing criticism from unions, insurers, banks and local governments.

CISL leader Daniela Fumarola objects to a 15% tax rate for some self-employed people, limits on pension increases and nearly 7,000 planned school job cuts.

Insurers say the plan adds nearly €1.4 billion in taxes over three years, while banks and other financial firms are also concerned about their share of the costs.

A public finance watchdog says almost half of the budget’s funding comes from higher taxes on the financial sector, and forecasts the tax burden will rise from 43% in 2026 to 43.2% in 2027.

Municipalities say their budgets are already under pressure from inflation, energy costs and growing demand for social services.

Parliamentary hearings begin on Monday, with insurers due to present their proposals and banks scheduled to appear on Tuesday.

The government is due to meet unions and business groups on Friday, while officials have said changes to some measures may be possible.

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What people are saying

Daniela FumarolaCISL secretary
We need an immediate discussion
via ANSA
Giovanni LiveraniPresident of the Italian association of insurance companies
Do we have to open a legal dispute to be heard?
via ANSA
Gaetano ManfrediNaples mayor and president of the National Association of Italian Municipalities
complicated
via ANSA
Maurizio LeoDeputy economy minister
optimistic
via ANSA