Mariano Rajoy highlights consolidating recovery and achieving major national agreements as priorities

Upper House of Parliament, Madrid

Before chairing the meeting of his parliamentary group in the Upper House of Parliament, the President of the Government stressed that this legislature will be different from those that came before because, for the first time since 1977, the governing party does not have a parliamentary majority. Hence, "we will need to try to reach agreements, hold dialogue and arrive at understandings in order to preserve the rights and interests of the Spanish people", he said.

Mariano Rajoy highlighted two priority objectives. The first one is to consolidate the economic recovery through growth and job creation. The President of the Government stressed that the Spanish economy will grow at over 3% this year, the highest rate anywhere in Europe, and that many jobs were created in Spain between 2014 and 2016, although he added that it is still not enough to make up for all those jobs lost in the five previous years.

In terms of economic affairs, the President of the Government announced that the Government of Spain will propose a ceiling on spending and budget stability targets to Parliament, which should be approved before the end of the year. The Government of Spain will then present the General State Budget for 2017.

Mariano Rajoy underlined the need to meet the commitments made to the European Union in terms of the public deficit. "That is what inspires confidence in Spain, what generates credibility and what has led to economic growth and job creation in this country", he said. Mariano Rajoy also advocated the continued control of public spending, the fight against fraud and not raising the main taxes that affect the population as a whole. "I have no intention of raising, at least, the main taxes: Personal Income Tax and VAT", he said.

National agreements

The second main objective mentioned by Mariano Rajoy is "to make a virtue out of necessity and try in this legislature to reach major national agreements that will last for a long time on issues that matter to the people". The President of the Government referred to pensions "in order to maintain, preserve and improve our system", gender-based violence, regional financing and the education pact. As regards pensions, Mariano Rajoy recalled that the Minister for Employment and Social Security, Fátima Báñez, had already appeared before the Toledo Pact Commission on Tuesday morning.

When asked about the government pact in the Basque Country between the PNV [Basque Nationalist Party] and the PSE [Socialist Party of the Basque Country], Mariano Rajoy reiterated that he believes the priority must be "to respond to the needs of the people" and he said that action must be taken within the framework provided by the Spanish Constitution and not "generate more uncertainty than already exists".