Cavaco Silva criticizes the left for approving the elimination of regressive tolls – Politics

Cavaco Silva launches barbs this Thursday at left-wing parties for the end of tolls on the former SCUT, approved at the end of June in Parliament, considering the measure unfair and arguing that it is regressivethat is, it will contribute to accentuating inequalities.

Num opinion article this Thursday in Públicothe former President and former Social Democratic Prime Minister says he does not want to “believe that, in a concession to populism, the left-wing parties approved the elimination of tolls thinking that what was politically important was the popularity of the measure, since people were not aware of the injustice that accompanied it”.

Cavaco Silva states that the measure, which will have an impact of 180 million euros on the State Budget next year, thus implies “the loss of revenue of many millions of euros”, which will have to be “inevitably accompanied by more taxes or a reduction in public spending” within the framework of budgetary restriction adopted by the Social Democrat in the analysis.

The issue at stake is the elimination of tolls on seven roads in the interior of the country and also on the Via do Infante in the Algarve. And, according to the former President, Portuguese and foreign private users, as well as companies, will benefit. The losers will be taxpayers who will be forced to pay more taxes or those who will be affected by the reduction in public spending mentioned.

In net terms, it defends, Those who lose are those who do not use these motorwayswhere the Portuguese who do not own motorized vehicles stand out”.

Cavaco Silva therefore concludes that it is residents with lower incomes who lose out with the measure, which he describes as regressive.

According to the article, the conclusion remains valid even if the elimination of tolls in the interior brings more investment and growth to the interior of the country, and even if there is a fiscal dividend in this, with an increase in revenues on the back of economic growth.

The exemption for former SCUT members was proposed by the PS and approved with the favorable votes of PS, Chega, Bloco de Esquerda, PCP, Livre and PAN, and is among the measures that the Opposition managed to approve in Parliament to take effect from next year. The Liberal Initiative abstained, and PSD and CDS-PP voted against.

The former President’s criticism of left-wing parties comes at a time of increasing the tone of positions regarding the possible viability of the State Budget proposal for 2025and the PS has already indicated that it will not allow the document to pass, maintaining the Government’s proposals for a reduction in IRC and IRS Jovem, up to the age of 35, which have already been submitted to Parliament. These measures have been described as regressive by the socialists.

Source: www.jornaldenegocios.pt