Venerdì, 21 Settembre 2018
ROME

Govt flexible over budget, but bottom line can't change

English
© ANSA

(see related stories)
Rome, October 24 - The government is willing to
consider changes to the budget measures in its so-called
Stability Law, but there is no flexibility about the bill's
overall bottom line, Vittorio Grilli said on Wednesday.
Premier Mario Monti faces a possible rebellion from the
parties that support his emergency technocrat administration
over various parts of the bill.
Ex-premier Silvio Berlusconi's People of Freedom party, the
biggest group in parliament, is unhappy about a 1% increase in
value added tax and a retroactive reduction in tax deductions
for the current tax year.
Pier Luigi Bersani, the leader of the centre-left
Democratic Party, has said his MPs would not vote for education
cuts that feature in the package.
"There is dialogue," said Grilli, with Monti poised to meet
Bersani later on Wednesday after having talks with Berlusconi on
Tuesday and the leader of the centrist UDC, Pier Ferdinando
Casini, on Monday.
"We'll keep it up. There is room for other types of
combinations (of measures) but only if the overall figures
remain unchanged".
Grilli stressed that the 1% increase in VAT was half the
hike that had previously been scheduled to come into force next
year.
He also pointed out that the government was trying to
inject some energy into the recession-hit Italian economy by
cutting income tax in the two lowest bands in the Stability Law.
"We are lowering taxes, not consumer spending, which we
want to increase," said Grilli.
"It would be good if people started to say that we have
reduced VAT by 1% (from the planned increase) and cut income
tax".

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