Istalia

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Pizzi swears in before the Empress: the first center-right government in decades is born

After weeks of consultations and intense negotiations, a minority executive led by the UOD is taking shape, with the external support of the Istalian National Front

March 5698 (OOC: Backdated)

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ROMULA - After several weeks of intense consultations and complex negotiations, Francesca Pizzi was sworn in by Her Majesty the Empress Eleonora, officially receiving the mandate to form the new government of Istalia: for the first time after more than thirty-five years of progressive hegemony, the center-right returns to the leadership of the country.

The governing coalition will consist of the Hosiano Democratic Union, led by Pizzi herself, the National Liberal Party and Democracy & Freedom. However, the government will be formed as a minority government, relying on the decisive external support of the Istalian National Front.

At the heart of the political agreement is a profound overhaul of the universal basic income system introduced by previous governments led by Marina Cantalamessa. The new majority has made it clear that the UBI will not be dismantled, but rather profoundly restructured: resources will be concentrated on the most vulnerable social groups, while the benefit will be significantly reduced for higher income groups. At the same time, the residual bonuses and social security benefits still in force will be permanently eliminated, and will be fully absorbed into the new UBI system.

According to Pizzi, this rationalization of welfare will allow for a reduction in the tax burden, particularly on middle- and upper-income groups, addressing what the then right-wing opposition had repeatedly called a "punitive" tax increase. The UBI compromise was the most delicate point in the negotiations with the Istalian National Front: while the D&L and a segment of the PNL had pushed for a more drastic reduction of the system, the FNI insisted on maintaining the universal income, but directing it more selectively toward the neediest citizens.

In the economic sphere, the new Minister Secreetary announced a clear change of pace compared to the recent past. The government intends to restore momentum to an economy deemed overly constrained by the interventionism of previous years by reducing regulations, tax cuts and new investment incentives. To this end, a discussion will be launched with unions and employers' organizations to review labor and employment policies, with the goal of making the market more dynamic and restoring greater maneuverability to economic actors, who until now, according to the right-wing narrative, have been excessively constrained.

Financial liberalization is also expected, although discussions on these issues with the FNI remain open. The Front has pledged its principled support for the reforms, but has set a clear red line: no intervention should penalize workers and consumers. This position reflects the internal transformation of the party, now led by the new national secretary Filippo Tocchi, who has gradually abandoned the economic liberalism of its early days to embrace a more markedly social vision, inspired by the tradition of the classical social right and not far, in terms of sensitivity, from some of the positions of the UOD.

However, the political stability of the alliance remains uncertain. The decisive weight of the FNI risks diminishing the influence of the PNL and, above all, of Democracy & Freedom, traditionally more libertarian on the economy and civil rights. It is no coincidence that, to rebalance internal relations, the Ministries of Finance and Treasury and that of Economy, National Industry and Trade were entrusted to PNL and D&L respectively. These ministries are expected to play a key role in defining economic policies, albeit within the limits imposed by the UOD and the conditions set by the FNI.

On the opposition front, reactions were immediate. Marina Cantalamessa, outgoing Minister Secretary and leader of the Alliance of Change, expressed strong reservations about the majority's stated objectives. In a brief statement released a few hours after Pizzi's swearing-in, Cantalamessa warned of the risks of a reversal that, in her view, could jeopardize the results built over decades.

Change cannot mean retreat. Many of the reforms being questioned today are the fruit of extensive work aimed at ensuring equality, social justice and national cohesion. Dismantling them, even partially, risks leaving behind the very citizens the state has a duty to protect.

The progressive leader also emphasized that the UBI reform and the reduction of tax burdens on the highest income brackets must be approached with extreme caution:

Universal income and tax reform represent a single framework designed to function in an integrated manner and any intervention that alters their balance risks producing regressive effects. In recent years, Istalia has chosen to invest in an inclusive and modern development model and the opposition will ensure that this legacy is not sacrificed in the name of liberalization without adequate safeguards.

These words immediately delineate the battleground of the new legislature, announcing an opposition determined to defend the reformist framework of recent years and ready to oppose any attempt to reduce welfare and the state's social role.

It will not be the "moderate revolution" that part of the center-right electorate had hoped for, but, as Pizzi herself emphasized, this government represents a historic turning point and a decisive test: the center-right's opportunity to concretely demonstrate its governing capacity and convince the country that an alternative to the long left-wing era is not only possible, but can be credible and lasting:

Today marks the beginning of a new era of responsibility, because the trust received requires seriousness and governance, and also of opportunity, because this is the moment for the center-right to demonstrate its ability to govern and to show the country that an alternative to the long left-wing era is not only possible, but credible and lasting.

Our goal is not to dismantle, but to reform and correct what has proven excessive or inefficient, while preserving the social foundations on which Istalians rely. Economic freedom and social protection can and must go hand in hand.

This government will act to rebuild trust in a state that supports employment, business and those who are truly most vulnerable.