The Pandemic Fallout: the New Normal of Regional Financial Autonomy

The article delves into the evolution of regional financial autonomy in Italy. Historically, the Italian local financial system relied on centralised funding from the State. Reforms following the New Public Management (NPM) principles introduced efficiency and autonomy, but EU membership brought financial constraints. The sovereign debt crisis disrupted the NPM trend, and the COVID-19 pandemic further emphasised the re-centralisation of resources. This study analyses how pandemic-related financial transfers have impacted regional financial autonomy and the implications for austerity measures and regional financial responsibilities in the postpandemic future.