PSOE Calls for Municipal Savings to Reduce Serra Gelada Debt

Socialists urge the amortization of 43 million euros to lower interest, while the local government accuses the opposition of being the origin of the urban planning problem.

Generic image of money and financial documents, representing municipal savings and debt management.
IA

Generic image of money and financial documents, representing municipal savings and debt management.

The Treasury surplus of 43.3 million euros from the Benidorm City Council has sparked a new political clash between the local government and the Socialist Municipal Group regarding the Serra Gelada judgment.

The socialists demand that this amount be allocated to the amortization of the debt derived from the urban planning judgment. According to a socialist councilor, using these funds would allow for a reduction in payment terms and save millions of euros in interest on an operation that could reach 570 million and will extend for 47 years.

"The popular government 'boasts' about the municipal economic situation while Benidorm faces the largest urban planning condemnation in its history. They maintain a 'triumphalist' discourse to hide lamentable management and demand prioritizing debt reduction over other expenses."

a socialist councilor
Furthermore, the socialist councilor has criticized the low execution of municipal investments reflected in the Intervention report of the 2025 budget settlement. According to him, the execution level fell to 32.6%, a situation that, in his opinion, jeopardizes European subsidies linked to projects such as the “Green and Water” plan.
The local government's response was swift. A Finance councilor has reaffirmed that the City Council will make “a sensible and fair use” of the surplus “following the criteria of municipal technicians” and prioritizing “the general interest of Benidorm residents.” She defended the executive's economic management and stated that the existence of municipal savings demonstrates that the City Council's accounts are “healthy.”

"The PSOE maintains a 'catastrophic' discourse despite the fact that the solution adopted to face the Serra Gelada judgment will allow payments to be met without raising taxes."

a Finance councilor
The councilor also directly blames the PSOE for the origin of the urban planning conflict. She maintains a version in which the agreements linked to Serra Gelada were approved in 2013 by the socialist government “alone and despite technical reports,” and alludes to the fact that those decisions subsequently led to the economic claim that has resulted in the millionaire judgment.