The Ministry of Finance has published on your website the consolidated deficit of the Central Administration, Autonomous Communities and Social Security for the month of March in terms of national accounts, as well as the state deficit data corresponding to April.
Specifically, in the first three months of 2019 the deficit of all Public Administrations, excluding local corporations, has fallen by 12.7% compared to the same period of the previous year and has stood at 0.32% of GDP .
State deficit (April)
In the first four months of the year the State has registered a deficit of 8,195 million. In terms of GDP it is equivalent to 0.65%, which represents an increase of 0.16 percentage points compared to April 2018. This evolution is explained by an increase in resources of 0.4%, as opposed to an increase in expenses of 3.8%.
As already indicated last month, this evolution is due, among other causes, to the fact that in these first months a non-equivalent expense is recorded in the same period of the previous year. Specifically, it is a greater increase in the remuneration of employees and the rise in pensions, whose revaluations were computed later last year after the approval of the General State Budgets of 2018. This effect will be mitigated in the second part of the year.
Non-financial resources of the State
Non-financial resources amounted to 60,899 million, representing an increase of 0.4% compared to 2018.
The tax resources, which represent 87.5% of the total, amount to 53,315 million, representing a decrease of 0.9%. The increase in VAT stood out by 2.6% to 27,139 million and also the 2.5% increase in the first installment payment of Corporate Tax once the effect of the return of minutes by a single company for an amount of 700 million was eliminated. .
On the other hand, the IRPF decreases by 2.5%, once the part corresponding to the Autonomous Communities has been discounted, which increases by 8.6% with respect to the previous year. If analyzed in homogeneous cash terms, the IRPF performance is positive, with an increase of 5.4% until April.
On the other hand, social contributions decreased by 1.9% due to the progressive substitution of active employees with Passive Classes Regime, by others with Social Security Regime.
With regard to the rest of the resources, property rents stand out, which grew by 8.6% due to the higher interim dividend received from the Bank of Spain in the amount of 905 million (19.7% more), as well as the interests that grow 4%. Finally, it is worth highlighting the increase in current and capital transfers between Public Administrations, which grew by 15.7%, mainly due to higher revenues from the Financing System and a transfer received in 2019 from the Traffic Department, for 233 million, without correspondence in 2018.
Non-financial state employment
Up to April, non-financial employment amounted to 69,094 million, higher by 3.8% than in 2018.
This evolution is mainly explained by the higher contribution to the EU, by VAT and GNI by 21.9% and the increase in current transfers between Public Administrations that grew by 6.7% to 39.28 billion, highlighting the increase in transfers made to Social Security Funds that grow by 17.8%.
Intermediary consumption grew 19.3% more, as a result of the coverage of electoral expenses for the year, without correspondence in 2018. The remuneration of salaried employees has increased by 7% due to the salary equalization of the Police and Civil Guard with the autonomic bodies and the increase in salaries after the II Government-Trade Union Agreement reached in March 2018, to improve public employment; The salary increase agreed for 2019 is a fixed rate of 2.25%, compared to the 1% increase during the first half of 2018.
These increases are offset, as already indicated in March, by the 6% decrease in interest and 6.4% of social transfers in kind. The decrease also affected 21.6% of the investment as a consequence of the recording of an expense of 1,114 million in 2018, due to the estimated value of the reversed assets of the bankrupt toll roads, with no correspondence this year. Also, due to the decrease of 41.9% of the rest of current jobs, among which the coverage of the electricity deficit is included, which has fallen until the end of April by 50.3%.
Joint deficit of the Central Administration, Autonomous Communities and Social Security (March)
Until the end of March 2019, the need for joint funding from the Central Administration, the Social Security Funds and the Regional Administration, excluding financial aid, is 3,988 million equivalent to 0.32% of GDP, 12.7%. % less than in the same period of the previous year.
If the balance of aid to financial institutions is included in both periods (-62 million in 2018 and 174 million in 2019), the deficit would be 3,814 million euros, equivalent to 0.3% of GDP, with a year-on-year reduction 0.8 percentage points of GDP.
Central administration
The Central Administration has recorded a deficit of 0.6% of GDP excluding financial aid, estimated at 174 million in the first quarter (0.01% of GDP).
– The state deficit in March is equivalent to 0.56% of GDP, 7,036 million, compared to the deficit of 0.35% of GDP registered in March 2018.
– The Central Administration Bodies have a deficit of 543 million, excluding financial aid, 43.3% lower than that registered the previous year.
Autonomous communities
The regional administration reduces its deficit by 3.4%, to 1,234 million, 0.10% of GDP. This evolution is explained by an increase in resources of 5.1%, higher than the increase in jobs of 4.9%.
Revenues have risen by 5.1%. It is worth highlighting the increase in tax revenues by 8.3%, especially the flows on income and wealth that grew by 8.8%, and the increase registered in transfers received from other Public Administrations by 3.9 %, which include 763 million advances in 2019, compared to 927 million in 2018.
Within non-financial expenditure, which increased by 4.9%, intermediate consumption grew by 3.3%, compensation of salaried employees increased by 5.6%, social transfers in kind grew by 1.8%, and transfers between Public Administrations increase by 14%.
Social Security Funds
The Social Security Funds have obtained a surplus of 0.38% of GDP, 147.1% higher than that registered in March 2018. Resources have increased 14.2%, highlighting the strong increase in the contributions of 10 , 9%. On the other hand, non-financial expenses increased by 7.2%.
The Social Security System has registered a surplus of 3,717 million, 0.3% of GDP, which represents an increase of 0.19 percentage points.
Income from social contributions increased by 11.1% while social benefits other than social transfers in kind increased by 7.6%, mainly due to the increase in contributory pensions by 7.1%.
This evolution responds on the revenue side to the increase of 2.9% in the number of affiliates and various measures approved by RDL 28/2018, such as raising the contribution bases, or the mandatory incorporation of all contingencies. , before voluntary, in the special regime of self-employed workers.
On the side of expenses, the growth of 7.1% in contributory pensions should be highlighted, due among other causes to the 3% increase in minimum pensions and 1.6% in the rest of pensions, applied since February 2019 ( RDL 28/2018). An increase that is added to the additional increase that was applied as of July 2018, of 2.75% in the minimum and of 1.35% in the rest of pensions (Law 6/2018); and to the difference in the average amount of the new pensions with respect to those that cause sick leave.
The Public State Employment Service has a surplus of 1,049 million, 0.08% of GDP, compared to 508 million in March 2018. Resources increase by 14.5%, due in part to the increase in social contributions 9.8% due to the improvement in employment and salary increases, while expenses increased by 6.2%. The expenditure on unemployment benefits increases by 3.7%.
The FOGASA records a surplus of 59 million euros, compared to the surplus of 60 million from the previous year.
