The PSC and ERC have reached a preliminary agreement to invest Salvador Illa as the new president of Catalonia, which will alter the current funding regime for the region.

This agreement allows Catalonia to retain 100% of its tax revenues, a move that has sparked discontent among the coalition partners of the Spanish government, particularly Compromís and the Chunta Aragonesista.

These parties have expressed their intention to withdraw support for the government if a unique funding model for Catalonia is implemented without addressing the financial needs of other regions like Valencia and Aragón.

As the ERC members prepare to vote on the agreement, the potential fallout could complicate the government's ability to secure the necessary majority for the reform of the financing law.

The situation highlights the delicate balance the government must maintain among its diverse regional partners.