Today, in the initial round, the Chamber approved the income, expenditure and deficit of the state budget for next year. The approved deficit is to be reduced by 41 billion crowns to 241 billion crowns against the amended budget for this year. Revenues increase by 146 billion crowns compared to this year’s budget, and expenses increase by 105 billion crowns compared to the adjusted budget. The majority of the deficit will be covered by an increase in the state debt by 248 billion crowns.
The first reading of the draft budget began on Wednesday morning and lasted approximately 14.5 hours. 87 coalition MPs out of 161 registered MPs voted to approve the budget. Opposition MPs, including the until recently government Pirates, voted against.
The budget resisted proposals by opposition entities to return it to the government for redrafting. Among other things, the opposition criticized the budget as unrealistic and pointed to comments made by the National Budget Council at the beginning of October. The council pointed out, for example, the overestimated income from the sale of emission allowances or the discrepancy between the current rules on the support of renewable energy sources and the amount of money for support in the budget.
The government identified the consolidation of public budgets, strengthening of investments or elimination of the consequences of recent floods as the main priority of the budget. He considers the maintenance of social peace to be another priority. The budget expects the economy to grow by 2.7 percent, household consumption to grow by 3.9 percent, and the average inflation rate to fall to 2.3 percent.
For example, the opposition Pirates unsuccessfully demanded to reduce the deficit by at least 12 billion crowns or reduce the amount of subsidies to entrepreneurs by 10 billion crowns. The SPD movement wanted the government to revise the basic parameters of the budget so that they corresponded to the current legislation. The ANO movement wanted the government to respond to the comments of the National Budget Council regarding some income and expenditure of the budget. With proposals for returns
Government officials, on the other hand, defended the budget. According to Finance Minister Zbyňek Stanjura (ODS), the proposal is good and realistic. Prime Minister Petr Fiala (ODS) called it a more than reasonable compromise. He pointed, for example, to the record amount of money for investments, which is expected to increase to 250 billion crowns, and assured that the government is doing everything for the gradual recovery of public finances.
Opposition speakers criticized the government, for example, for not giving enough money to individual departments. For example, Jana Berkovcová (ANO) stated that education has never been and is not a priority of the current government. According to the head of the opposition SPD, Tomio Okamura, the budget is “unrealistic in terms of revenues, immoral in terms of the structure of expenditures, and disastrous in the indebtedness it brings”. The president of the ANO club, Alena Schillerová, accused the government of focusing on helping foreign business chains, banks, energy giants and arms manufacturers instead of investing in education and social peace.
MPs can no longer change the approved basic parameters. They can only propose transfers of money within the budget. The final approval of the budget should come on December 4.
The government expects real household incomes to rise, although private consumption may be affected by the government consolidation package approved last year. In connection with tensions in the Middle East, he considers the threat of inflationary pressures to be a risk. The state budget wants to get almost 1,031 billion crowns in taxes and fees, i.e. 78.5 billion more year-on-year. The state wants to get about 414 billion from the value added tax alone. Social security premiums should bring in about 809 billion. Almost 918 billion crowns are to be allocated to social benefits, which mainly include pensions. 717 billion crowns should go to pensions alone.
MPs are awaiting a debate on the salaries of top politicians in the early evening today. The extraordinary meeting was called by the opposition movement ANO, which advocates freezing the salaries of legislators, members of the government or the president. It is expected that the parliamentary debate on salaries will not bring a concrete result.
Source: www.tyden.cz
