Super bonus, Giorgetti: “When we arrived the avalanche had already started”. But he was in government while spending spiraled out of control

No responsibility. Giancarlo Giorgetti, Minister of Economy in the Meloni government since October 2022 after having held the role of Minister of Development since February 2021 with Mario Draghi, continues with the buck-passing game: nothing more he could have done, he says, to limit the impact on public accounts of the Superbonus, launched as an extraordinary measure in 2020 by the government […]

No responsibility. Giancarlo Giorgetti, Minister of Economy in the government since October 2022 Melons after having held the role of Minister of Development since February 2021 with Mario Draghicontinues with the blame game: nothing more could he have done, he says, to limit the impact on the public finances of the Super bonuslaunched as an extraordinary measure in 2020 by the government With you and subsequently extended upon request and with the approval of all political forces including those of the current majority. It’s the fault, he claims, of State general accounting office, which put its stamp on the provision that created the maxi relief and then on all the decrees approved to limit its effects. The numbers, however, say that what the owner of the Mef now defines as a “Avalanche” like that of “Vajont” (“When we we arrived at the government, it was October 2022, they warned us that the avalanche was coming and we did what we could, but unfortunately it had already started”) swelled while he was already a member of the executive.

This is clearly shown by a graph inserted in the latest memory of theParliamentary Budget Office on the Superbonus (see featured photo). “Investments have shown a constant increase over time,” writes the PBO. “In the first eighteen months (July 2020 – December 2021) investments were confirmed for 16.2 billionwhich passed at the end of 2022 62.5 billion (+46.3 billion) ea 102.7 at the end of 2023 (+40.2 billion). In the first three months of 2024, new sworn statements were recorded for 14.5 billion”. In the months of September and December 2022, “a high number of new certifications were concentrated in order to comply with the deadlines envisaged in the legislation in force at the time, and in the month of December 2023, in which the investments concluded to meet the payment deadline for the use of the 110 percent were particularly high”.

Since April 2023, however, “the certifications relating to buildings other than condominiums have almost stopped” due to the decree of February 2023 which provided for the blocking of the transfer of credit and the Quater aid decree on the income requirements of owners. However, the same 2023 decree established a standard for condominiums exception of the block for works already started or for which at least a Cila had been presented before 17 February 2023. “As a result of these exceptions”, to which the Meloni government has given the green light, “the flow of new certifications relating to condominiums – unlike what happened for other properties – did not stop, ending up representing almost all of the new investments in the twelve months between April 2023 and March 2024. In this period the new certifications relating to condominiums presented in derogation were equal to just under double compared to those of the previous twelve months (42.6 billion against 23.7) and continued to benefit almost entirely from a concession percentage of 110 percent”.

The flow of new investments, continues the PBO, “has been particularly consistent in all the months starting from October 2023: always above 4 billion per month, with some peaks in December (5.9 billion) and March 2024 (5.7 billion)“. A dynamic which was influenced by the approaching expiry of the exemptions from the restrictive measures in 2022, the reduction from 110 percent to 70 established for 2024 and the less restrictive modification of the rules on the joint liability of credit transferees in the event of deductions or credits not due, which has led to “a greater propensity of banks and other financial intermediaries to purchase credits”.

Net of the peaks, “a progressive increase in the monthly flow of new investments was observed, which has passed from around 2 billion at the end of 2021, to just over 3 billion on average in the first half of 2022 and over 4.5 billion on average in the second part of the same year“. In the last months of 2023 and early 2024, then, “there is a new surge in completed works (over 10 billion in December 2023), plausibly fueled by the incentive to advance payments to benefit from the higher relief rate in force until the end of 2023, bringing the share of works completed to just over 95 percent at the end of March 2024”. In short, it was the numerous extensions and exemptions granted even after the “tightening” announcements that caused costs to explode to the monstrous figure of over 160 billion. “The impact of the Superbonus on public finances was only realized with the passage of time due to the presence of a certain inertia in adhering to the measure, particularly during 2020”, notes the PBO. “Since the end of 2021, the first signs of a possible underestimation of the phenomenon have emerged from Enea monitoring data. The attempt to limit the financial impact of the Superbonus through subsequent restrictions was hindered by the need to protect beneficiaries who had not yet completed the work undertaken. The exceptions were extensive.”