July 25, 2007 at 11:12 pm #53054
This incident ocurred several days ago but today the spanish media is talking seriously about it.
In a interview at BBC News Spanish Housing Minister replied with a short but clear “No comment”
a question about the Spanish property crash.
Here are the links of the main Spanish newspapers websites talking about this issue. The common
conclusion in all media is that something very serious is happening with the Spanish property market.
July 26, 2007 at 2:14 pm #73791
July 26, 2007 at 11:09 pm #73798
Murcia could have to pay back ERDF funding
‘The news came from a Socialist MP in the regional parliament, who said the European Commission are revising modifications made to a large number of ERDF co-funded projects
A Socialist member of the Murcia parliament has announced that the European Commission is to revise modifications which have been made to all projects carried out in the Murcia Region which were co-funded by the ERDF – the European Regional Development Fund. The fund is known in Spain as FEDER.
Begoña García Retegui said in a press conference on Monday that it affects projects between 2000 and 2005, and that it could mean the regional government having to repay the European funds.
EFE reports her saying that the investigation comes after an EC auditors fact-finding mission to the Region at the end of last year, and that she also spoke of a letter sent by the EC to the Economy Ministry after the visit. García Retegui said it described modifications and complementary work as being the result of ‘errors and omissions,’ and not from unforeseen circumstances.
The funds went towards new infrastructure, such as motorways and roads, schools, hospitals and health centres. ‘ 23/07/07
Málaga to apply for EU regional development funding for city projects
‘City Hall is applying for more than 700 million € from the ERDF to fund 50 projects
A meeting of Málaga City Hall on Thursday has approved applying to the Junta de Andalucía for more than 700 million € from the EU Regional Development Fund.
Newspaper La Opinión de Málaga reports that it would fund 50 projects in the city centre, including the plan for a transport hub under the Plaza de la Marina, re-routing railway lines underground in San Andrés, solar panel plants and projects for sustainable mobility.
There are others on the table for city regeneration projects in some districts. The motion was passed with the votes of the party in power at City Hall – the Partido Popular, together with councillors from the Socialist Party. Izquierda Unida abstained in the vote.’
July 26, 2007 at 11:34 pm #73799
Why does the EU continue to give Spain such handouts when they virtually ignore any EU recommendations/directives such as solving the disgraceful Land Grab situation ❓
It seems Spain is happy to be part of the EU when it comes to receiving money, but sticks a finger at any EU resolutions when it comes to dealing with corruption.
Personally, I think the EU should withhold any further funding to Spain until they tow the EU line. You can’t belong to ‘The EU Club’ but ignore the rules. Or can you….?
July 27, 2007 at 12:02 am #73800
Think the EU are clearly intervening. The more of us who write to our Minister for Europe & press for Sanctions, the more EU ‘Audits’ & ‘Fact-Finding Missions’ will have to take place.
Much of Spain’s property sector has been racing over red lights for years without intervention – but now it looks like the stop signs cannot be ignored any longer without an almighty crash.
July 27, 2007 at 7:53 am #73801
….but now it looks like the stop signs cannot be ignored any longer….
I admire your optimism Suzanne, but think the red lights are still being ignored – for the time being at least.
Only last month, regarding the land grab situation Michael Cashman said in his EU fact-finding mission:
“We have now sent three fact-finding missions. The last came under shameful attacks from the Partido Popular…..
….the Partido Popular politicians say that the petitions in Valencia have been imagined”.
If that is not sticking a finger at the EU, I don’t know what is.
If the EU do force Murcia into paying back the ERDF funding they received then I may start believing that they are deciding to act as against talk. But the fact that Andalucia are contemplating applying for 700 million euros EU funding while at the same time ignoring the fact that tens of thousands of EU citizens have been royally ‘diddled’ on their property purchases through blatant corruption throughout the whole system beggars belief.
The Spanish Housing Minister’s reply regarding the property crash of “No comment” just about sums up their whole attitude. Keep up the ostrich pose of head firmly buried in the sand, deny rigourously, and it may all just go away.
IMO…don’t hold your breath just yet.
July 27, 2007 at 1:38 pm #73808
The ‘no comment’ attitude by the Spanish Housing Minister is just typical of an inept and IMO corrupt Government who have constantly turned a blind eye to all the activities of crooked agents, developers and lawyers.
The Spanish Gov’t have ‘milked’ the property boom for years, taking Stamp Duties, VAT and other property taxes on both illegal builds and Land Grab properties (have they returned these to victims?). Now they have been found out and their Costa markets have virtually crashed.
Of course they could show some honesty by dealing with the crooks (jailing them) and speeding up the Court process as well but they can’t even do that properly.
It’s going to get worse for them when Brits etc stop buying 2nd homes etc because of the slowing market here.
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