Renzi tussle with regions over budget continues

(ANSA) - Rome, November 5 - Premier Matteo Renzi said Thursday that Italy's regional governments should spend their budgets better, and denied allegations that his executive was cutting regional health care funding. "We have increased the money for the health sector from 110 billion euros to 111 billion (in the 2016 budget bill)," Renzi said in an interview with veteran TV journalist Bruno Vespa for an upcoming book. "Now the issue is to force the regions to spend the money they do have better, instead of moaning about what they would like to have".
    The government's budget bill features the abolition of the TASI local services tax and property tax IMU on primary residences and farms. The executive has said local councils will be reimbursed for the lost revenue by central government, but the move has still been criticised for limiting municipalities' room for budget manoeuvre, and punishing authorities that applied relatively local TASI rates. Italy's regional governments have complained vital services will be at risk because of cuts that they will face, sparking tension with Renzi even with governors belonging to the premier's Democratic Party (PD). On Thursday, Friuli-Venezia Giulia Governor Debora Serracchiani said the Conference of Regions unanimously voted to suspend its reading on the government's budget bill as a series of round-tables got underway to discuss regional accounts.
    Renzi has repeatedly said the government is increasing money it allocates the regions for health spending, but the governors say they are to get less than they were promised, which means the increases are effectively cuts as they don't keep up with inflation. Puglia Governor Michele Emiliano said the regions are ready to "hand back the keys" if government does not quickly approve a decree to help solve some of the accounting problems they face. The so-called "Save the Regions" decree is expected to be presented by the government on Friday. Separately, a minority group of leftwing dissenting members of Renzi's center-left Democratic Party (PD) presented 10 amendments to the government's budget bill, related to issues ranging from a plan to make massive investments in the country's chronically impoverished South, to a diverted profits tax. They also want to eliminate a plan to raise the limit on cash transactions from 1,000 euros to 3,000 euros, which has been criticised on the grounds that it would make tax evasion easier.