Mikel Torres, a leading socialist figure and second vice-lehendakari, has criticized the fiscal measures being prepared by the Provincial Council of Bizkaia to ensure the retention of companies and qualified workers through exemptions and deductions. The socialist leader has warned that these tax initiatives break the "fiscal harmonization" among the three territories of the Basque autonomous community. He also criticized the "haste" with which his governing partner in the Provincial Council, the PNV, announced new fiscal measures for the territory without consulting the socialists.
The Minister of Economy, Labor, and Employment stated that the fiscal measures announced by the Bizkaia council on Friday are "neither a fiscal revolution nor a fiscal reform," but rather "unfinished work and, therefore, neither agreed upon nor pact." Torres made these remarks at a working conference held this Saturday in the Bizkaian town of Muskiz, where he reproached the PNV, his minority partner in the provincial government, for learning about the measures announced by the general deputy Elixabete Etxanobe through a press conference.
Specifically, the Provincial Council of Bizkaia announced a new Foral Law with fiscal measures and deductions that introduce changes in tax treatment to "reinforce" business anchoring, attraction, loyalty, and retention of professionals in the territory, or to favor the purchase of shares in funds aimed at facilitating social interest residential rentals. These measures are expected to come into effect before the end of 2026, with the goal of aligning taxation with the social and economic policies Bizkaia needs. Among them, an innovative measure allows Biscayans to contribute to a fund that will finance a rental housing stock, enabling them to deduct up to 750 euros annually.
The presented measures strengthen mechanisms that facilitate business transmission and continuity, especially in generational succession processes, with measures aimed at preserving economic activity and employment. Among the novelties, a 30% reduction in capital gains generated in certain business transmissions is highlighted, provided that business activity and employment are guaranteed.
Torres criticizes the PNV, stating that fiscal reforms "are agreed upon and pact, just as was done with the Fiscal Reform of April 2025, and this has not yet happened." However, he acknowledges that "it is true that we had been working jointly on some of the measures, those that for the Biscayan socialists are clearly positive for Bizkaia, but which must never, ever, break the fiscal harmonization that currently exists in Euskadi." He also clarified that the work was not finalized "and, therefore, neither agreed upon nor pact."
"It is unfinished work and, therefore, neither agreed upon nor pact. Before announcing it, you have to work on it with your partner."
In this regard, he announced that after the summer "the public exposition of this Draft Bill of Tax Measures will begin," and it will be then that the PSE-EE "will put its position on them on the table." In his opinion, they are "neither a fiscal revolution nor a fiscal reform," but "unfinished work and, therefore, neither agreed upon nor pact."
The also general secretary of the PSE-EE of Bizkaia acknowledged that work has been done on "incentives to attract professionals, to curb potential talent flight, to ensure the survival and roots of companies, to improve the living conditions of vulnerable groups," but this, he said, "can never be at the expense of breaking fiscal harmonization in the three territories." In this regard, Torres stated that "Euskadi works and progresses as a country when we do it together, not competing one territory against another."
