In recent years, Italy has introduced the 110% Superbonus and the Facade Bonus with the aim of stimulating the economy and the construction sector, as well as improving the energy efficiency of homes.
However, a recent study by the Bank of Italy has highlighted the economic impact of these measures, raising questions about their overall effectiveness.
What were the real benefits for the Italian GDP and what costs did they entail for state coffers?
The analysis of the Bank of Italy
A group of researchers from the Bank of Italy conducted a study to evaluate the economic impact of the 110% Superbonus and the Facade Bonus, active since the second half of 2020. According to the results, the tax breaks have generated a significant cost for the State without bringing a proportional economic benefit.
The researchers found that the benefits to the economy in terms of added value were lower than the costs incurred, thus contributing to an increase in public debt.
The overall expenditure for these measures has exceeded 170 billion euros in the period 2021-2023, representing approximately 3% of the average annual GDP. Approximately 25% of the subsidized investments would have been made even in the absence of the incentives, while 73% of the total value of the investments was directly influenced by the tax credits.
These data suggest that the so-called “fiscal multiplier” of the measures was less than unity, highlighting a lower economic return than expected.
The conclusions of the study have sparked various reactions among political leaders. Augusta Montaruli, deputy group leader of the Brothers of Italy in the Chamber, described the Superbonus as a disastrous measure that has caused significant damage to the state coffers, calling it a “axes on public accounts“.
Guerino Testa, deputy of Fratelli d'Italia and secretary of the Finance Commission, also underlined how the Superbonus would have continued to damage state finances if it had not been interrupted.
On the other hand, Mario Turco, senator of the M5s and vice-president of the party, criticized the interpretation of the data by his colleagues, stating that the Bank of Italy report represents the personal opinions of three economists and not an official assessment of the institute. According to Turco, the report does not speak of a failure of the Superbonus, but offers a personal vision that does not bind Palazzo Koch.
