Sánchez-Illa alliance strengthens ahead of key talks
Prime Minister Pedro Sánchez will visit Catalonia on Monday, 28 September 2026, to advance negotiations on a new autonomous financing model, following renewed political momentum after the Constitutional Court’s backing of the amnesty law for 'procés' figures. Sánchez will meet with Catalan President Salvador Illa, his closest political ally, in what observers describe as a strategic re-engagement with Catalonia amid national political strain. The visit comes days after the Constitutional Court moved to support the amnesty of misuse-of-funds charges linked to the 2017 independence bid, a decision that clears a path for exiled leaders like Carles Puigdemont to return within weeks.
Focus on housing and business outreach
The prime minister will also tour a public housing development alongside Housing Minister Isabel Rodríguez, underscoring the government’s response to the public outcry over the eviction of 87-year-old Maricarmen from her Madrid home. The case has triggered nationwide protests and forced the government to restart stalled negotiations on a housing decree. According to government sources, the new royal decree on housing, set for approval at Tuesday’s cabinet meeting, will include urgent anti-eviction measures. The administration is negotiating fiscal concessions with Junts to secure parliamentary support, after the party reversed its stance and re-entered talks despite maintaining that relations with the PSOE remain formally broken.
The desahucio de Maricarmen is a tragedy social that we cannot accept,
Sánchez said last week in New York, pledging swift legislative action.
Business leaders and media event on agenda
Later on Monday, Sánchez and Illa will host a lunch with the so-called G-8, a coalition of top Catalan business associations. Attendees include Josep Santacreu (Barcelona Chamber of Commerce), Teresa García Milà (Cercle d’Economia), Tatxo Benet (Femcat), Carles Puig (Colegio de Economistas), Josep Lluís Sanfeliu (Barcelona Global), Josep Mateu (RACC), and Antoni Cañete (Pimec). The day concludes with Sánchez attending the La Vanguardia awards, hosted by the Godó Group, reinforcing the government’s outreach to Catalonia’s institutional and media elites.
Financing deal could define Sánchez’s term
The proposed new financing model is seen as vital for Sánchez, who has failed to pass state budgets and now pins legislative hopes on this reform. The PSOE claims it would deliver an additional €4.5 billion annually to Catalonia, far exceeding the €700 million a regular budget would provide. While Junts officially opposes the funding plan, PSC sources say informal channels suggest the party is not entirely closed to supporting it. The outcome may hinge on Puigdemont’s return, which now appears imminent following the Constitutional Court’s alignment with the majority pro-reform judges. Catalonia’s own 2026 budget was approved late but is in place, shifting the regional government’s focus entirely to securing the new state financing agreement.
Reported by elpais.com, europapress.es, Redacción La 7, eldiario.es, C. G, 20minutos.es, tribunalconstitucional.es, El Confidencial.