Montero defends the revaluation of maximum pensions to contain the subscription of private plans

MADRID, 10 Oct. (EUROPA PRESS) -

The Minister of Finance and Public Function, María Jesús Montero, defended this Monday the revaluation of pensions, also of the highest ones, to prevent professionals who earn the most from hiring private insurance that puts the sustainability of the system at risk.

Montero went to the UGT headquarters this Monday to present the general secretary of the union, Pepe Álvarez, the draft law of the General State Budgets (PGE) for 2023, which contemplates an item of 190,687 million euros, an 11, 4% more than in 2022.

The Government estimates a revaluation of pensions around 8.5% for next year, according to the CPI as established by law. Montero recalled that "the maximum pensions are capped", which means that "regardless of what they have received throughout their professional life, there is a limit on the payment of pensions".

"If, indeed, we are not capable of guaranteeing maximum pensions their revaluation, the professionals with greater purchasing power would go to contract a private pension plan and would disregard the very sustainability of the pension system", said the minister.

The head of the Treasury has recalled that among the recipients of the highest pensions are usually doctors, lawyers, university graduates and Public Administration workers.

Montero considers that the criticism from some sectors of the rise in pensions responds to "a trap" by the PP to "try to confront the generations." In this regard, the minister clarified that the youth policies of these PGE 2023 grow by 13% and added that the Executive thinks of young people with measures of employment, housing and the increase in the Minimum Interprofessional Salary (SMI).

The minister has asked the opposition to abandon these messages that "only bring uncertainty to the elderly" and has urged them to comply with the Toledo Pact.

Like Montero, the general secretary of the UGT has indicated that the 2023 budgets "respond to the need to expand and consolidate the social umbrella", and that includes the "maintenance of purchasing power for pensioners".

Álvarez also observes an attempt to "confront some generations with others" for the revaluation of pensions, despite the fact that these are an issue "transcendent for almost 10 million citizens."

"The average pension in our country is not substantially above 1,000 euros. We are not talking about people who can do without this increase in order to maintain their standard of living. Pensioners have supported families in the crisis in our country. That no young person thinks that if his grandfather's pension is not raised, he will have compensation. Let him think about the support that he will receive from his grandfather, because otherwise, he will not receive any support", has expressed the General Secretary of UGT.

Álvarez alluded this Monday to the package of fiscal measures presented a few weeks ago by the Government, with a tax on large fortunes to tax net wealth of more than 3 million euros.

UGT maintains that "the rise in taxes on high incomes is absolutely necessary" and calls on the Government to "integrate into the reform of the Spanish tax system" and not just be a temporary issue.

"Those who have more must contribute to the social rights of people who have less", stressed the general secretary of the union.

Álvarez lamented the debate on taxes between the autonomous communities, reminding them that "they have to face their responsibilities according to the powers they have".

"The competition that we have been seeing in recent times seems inappropriate, unfortunate and, to a certain extent, cruel," he added.

Along the same lines, Montero has warned that no downward fiscal race is good, "but it is even worse" when it comes to lowering taxes on the richest 0.2% of the population. For the Minister of Finance, a general reduction in taxes "is contraindicated."

The Government and the social agents have been talking about an income pact since the beginning of March, without having yet reached any specific proposal.

Montero has assured that this income agreement "is on the horizon" and has guaranteed that "meetings will continue and proposing alternatives so that it can crystallize". "It would be very convenient that in the future we can count on him," he acknowledged.

Álvarez has blamed the Spanish Confederation of Business Organizations (CEOE) for not having reached an agreement yet, since the businessmen preferred to "preserve the negotiation of wages outside the income agreement."

"From the UGT, we want the political opposition to have also been involved, because it is about generating consensus that goes beyond parliamentary life", said the secretary general.

Despite not having yet materialized an income pact between the parties involved, Álvarez considers that the Government has been developing it, as shown by the PGE 2023, which "include social policies for people punished by the crisis."