The business revolt. Against the cut to tax credit for investments already carried out within the project Transition 5.0which will go from 100% to 35%. Entrepreneurs went into the trenches against the measure, so much so that the Minister of Economy, Giancarlo Giorgettihas called business organizations together for today, announcing however that it does not intend to back down.
The revolt of businesses: “transition 5.0” tax credit at risk
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Will the discussion lead to an agreement? The minister puts the war emergency on the table, that is, public finance must pull out all the stops to be able to cope with economic shocks, starting with energy shocks, following the conflict in the Middle East. The companies reply that the rules cannot be changed during construction and that precisely because there are clouds on the horizon it is not possible to intervene by shattering the companies’ investment plans, implemented by relying on incentives which, if removed, would leave the companies holding the bag and the risk of burning down a part of the production system.
Giorgetti and businesses: a discussion on the revision of incentives
It’s difficult to blame businesses, which require certain rules which have already been changed several times (with incentives reduced from 1.3 billion to 537 million) and which would receive a final blow with the ultra-halving of the tax credit on investments already underway. But the minister also has his reasons, with the advancing emergency determined by unforeseeable causes. Hence the search for a difficult compromise during today’s meeting. Meanwhile, Confindustria has taken a harsh stance against the measure, going so far as to argue that this breaks the “relationship of trust” with the government. For once all the organizations are united and aligned alongside Confindustria Confartigianato, Cna, Confapi, Legacoop, Confcommercio, Confimi. Their members are in turmoil. Here are the reasons.
The voice of the industry: from Confindustria’s criticism to sector leaders
It started badly and ended worse. Bruno Bettelli he is president of Federmacchine: «The substantial reduction in benefits for companies that had already planned investments on the basis of the original incentive framework is unacceptable. Conditions of certainty and coherence of industrial policy must be re-established. Measure 5.0 started badly and ended worse, our trust in the government is heavily undermined, all those companies that carried out investments knowing they could count on the support of the tax credit find themselves penalised. Therefore, a corrective intervention is needed that re-establishes minimum conditions of coherence of industrial policy, starting from the full recognition of the expected benefits. A further element of attention concerns the reinstatement of aid for technologies linked to renewable energy sources, in line with the original structure of the measure: their exclusion in fact compromises the integration between digital and energy transition, reducing the overall effectiveness of investments and their impact on competitiveness and sustainability”.
Download on businesses. Luca Sburlati he is the president of Confindustria Fashion: «The decisions taken risk compromising a fundamental principle for the production system: legal certainty and the stability of the regulatory framework. Hitting investments that have already been made retrospectively means passing on the cost of uncertainty to businesses and weakening trust in the relationship between institutions and industry. Furthermore, the provision intervenes in a particularly complex phase for the Italian manufacturing sector, already subjected to strong pressure linked to the increase in energy costs, geopolitical tensions and the slowdown in international demand. In this context, supporting innovation, digitalisation and energy efficiency is not an optional choice, but a necessary condition to preserve the competitiveness of the industrial system. For the entire fashion system, which represents one of the pillars of national manufacturing – with almost 90 billion in total turnover and a decisive role in terms of exports and employment – the stability of industrial policy instruments is a decisive factor”.
Vital oxygen is taken away. Massimo Paniccia he is vice-president of Confapi: «In this political and economic scenario, guarantees must be given to the production system with a safe regulatory framework. Companies have made investments included in Transition 5.0 and some of these now find themselves having to suffer the linear cut, jeopardizing the company’s economic and financial balance and above all calling into question the trust that companies must have in the measures adopted by the institutions. We are aware that the geopolitical scenario has completely changed in a few weeks and that resources will have to be found to deal with the crisis, but this cannot happen by taking away vital oxygen from those who guarantee the country’s wealth through innovation”.
Trust compromised. Marco Polazzi is manager of Cnaone of the most representative craft organisations: «The cut of up to 65% of the tax credits already accrued by companies represents a serious and unjustified decision. We are talking about companies that have made investments in 2025 in full compliance with the rules and on the basis of clear commitments undertaken by the State. Changing the conditions now, after the fact, means compromising trust in the relationship between businesses and institutions. Businesses cannot be considered a variable for adjusting public finances. We understand the complexity of the international context and new emergencies, but it is not acceptable to pass the costs of uncertainty onto those who have invested in innovation, sustainability and energy efficiency. Interventions of this type risk slowing down the transition path of the production system and weakening the competitiveness of small and medium-sized enterprises, precisely at the moment in which it would be necessary to strengthen their investment capacity”.
The alarm from the Bruno Leoni Institute: fiscal prudence and consensus risk
Election tips. However, there is also a reminder not to go beyond the rigor of public accounts. It comes fromBruno Leoni Institutechaired by Franco Debenedetti: «The victory of the No vote and the consequent political climate could lead the government to abandon what has so far been a cornerstone of its economic policy: prudence on the accounts, to try to gain part of the lost consensus through spending, in view of the upcoming elections. The first signs have already been there: the fuel decree cuts excise duties by around 20 cents per liter for just twenty days, at a cost of over 400 million euros. Once the ambition of institutional reforms has failed, fiscal hygiene and the consequent financial stability are all the more a precious medal for this government: this legacy of credibility has allowed it to maneuver so far with very low spreads, which have not surprisingly returned to growth after a practically uninterrupted decline since 2022. It is not certain that a series of handouts would guarantee electoral victory, it would certainly make it more complicated to claim those records of seriousness, stability and reliability that the Prime Minister holds so dear.”
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