Inflation is at a 30-year high. In August, according to preliminary data from the INE, it was 9%. The Government promised to present an income support package at the beginning of September so that families can face the rise in prices, such as has not been seen in Portugal for 30 years.
The plan has eight lines, which include income support, children and youth, retirees, electricity, gas, fuel, rentals and transportation. António Costa accounted for this package of measures at 2,400 million euros.
These are the measures that were presented:
- Pensioners will receive an amount corresponding to half of their monthly pension at the same time in October. That is, those who have a monthly pension of up to two IAS —886 euros— will receive 440 euros. António Costa says that 99.9% of pensioners whose pensions are subject to annual updating will be covered by this extraordinary payment (it only excludes above 12 IAS, 5,800 euros). For next year, the Government advances since it proposes that the reforms up to 886 euros have an update of 4.43%; between 886 and 2,659 euros update 4.07% and other pensions 3.53%.
- A grant of 125 euros will be given (before there was a monthly support of 60 euros — António Costa says there is no comparison). This extraordinary payment will be delivered to each non-pensioned taxpayer with income until 2700 euros per month gross. It is a value per person.
- rent In view of the inflation of August (without housing) of 5.43%, the update of the rents of the contracts after 1990 would be of this order of magnitude, as established by law. The Government decided to approve a brake rule, determining that the owners -if they have foreseen in the contract the update to the value of the inflation of August- can only increase rents by 2%. But homeowners will have compensation from IRC and IRS.
- Regardless of family income, there will be a extraordinary payment of 50 euros for each descendant dependent child or youth (up to 24 years). Ana Mendes Godinho had already announced in August a reinforcement of the family subsidy and guarantee for children.
- in transport, the value of the urban social pass and CP tickets is frozen.
- The electricity VAT becomes the reduced rate (5%), when it is currently the intermediate rate of 13% (electricity consumption not exceeding 100 kWh, in a period of 30 days, for consumers with contracted power up to 6.9 kVA. large families whose electricity consumption does not exceed 150 kWh). The Government wants it to come into force on October 1 and December 2023.
- The Government had also already announced its intention to approve the diploma that allows natural gas consumers to return to the regulated rate (a measure that has not yet been published), having also announced the re-launch of the “solidarity bill” program that gives 10 euros to low-income families to subsidize the purchase of gas cylinders. In this field, the Government has already administratively fixed the prices of bottled and bottled gas, used by more than two million consumers.
Gasoline increase. Families and small businesses will be able to return to the cheapest regulated rate
- In fuels, the Government maintains the carbon tax freeze until the end of the year and maintains the ISP discount, as well as the VAT refund on these products, as has been in force. The Government had announced this measure at the end of September. António Costa accounted for the impact of this measure in a saving of 16 euros in gasoline or 14 euros in diesel in each 50-litre tank.
Discounts on oil taxes extended until the end of September
Source: Observadora
