The “take it, give it here” to the Left promises to continue. But how far is the Government willing to give in to approve the OE?


António Cotrim / Lusa

Left Block and the Communist Party announced yesterday, after the delivery and presentation of the State Budget for 2022, that they will vote against the approval of the document if, in the coming weeks, amendments that respond to their concerns are not incorporated.

A week ago, António Costa had already warned, even before presenting the proposal for the State Budget for 2022 to the parties, that negotiations with left-wing parties would could prolong through the different stages of the process, that is, up to the voting of the document in general, but also in the specialty and in the global vote (on 26 November) – similarly to what happened in the previous years.

“We’ve had times when an agreement was reached before the initial budget submission, there were others where an agreement was established between the submission and the generality, and there have even been situations in which the agreement was established between the generality and the final global vote”, the prime minister said on 5 October.

Yesterday, after the delivery and final presentation of the Budget, both Left Block What Communist Party they were unhappy with what they saw and announced, almost in the same tone, that if the document turns out like this it will deserve votes against of the two parties, so they will have to exist concessions by the Government of António Costa if you want to see the Budget approved and, consequently, avoid a political crisis. From the socialist hosts, the warning has already come out that it cannot be just the Government that approach, calling for a convergence by the partners.

During Tuesday’s press conference, John Lion made a point of emphasizing that I didn’t see reasons for the Budget to be failed and he highlighted that many of the fears of the parties on the left were answered, listing them below: the improvement of family income through IRS reduction; the reinforcement of family allowances for 2022 and 2023; a new extraordinary increase of 10 euros of pensions from August and the increase of 0.9% of the public administration salaries.

However, for Left Block and PCP these measures not enough — that and the three billion euros of the Recovery and Resilience Plan, which will allow the Government to apply the highest level of public investment since 2010.

Having said that, what are the demands of the left-wing parties to make the State Budget for 2022 viable?

on the side of Left Block, the priorities are the National Health Service, labor law and pensions. In the first case, the party of Catarina Martins want the exclusivity of the professionals and the appreciation of careers; with regard to pensions, the blockists intend to end of sustainability factor it’s the recalculation of pensions awarded between 2014 and 2018; and regarding labor law, the party wants to reversal of troika measures that still remain. These are the red lines of the Bloc, which if not considered, means a vote against.

The party leader has already made it known that she is satisfied with the IRS tax relief, the increase in the allocation for the health or the extraordinary rise of pensions lower. These measures are, however, in Mariana Mortágua’s opinion, “patches” that do not resolve important issues. The deputy showed preference, to the detriment of changes in the levels of the IRS, for a relief of indirect taxes, namely the VAT of the electricity. Even so, the Government has already come to say that there will be no changes in this field in 2022.

For the Communist Party, the list of measures and priorities that should be included in the Budget is longer, so, as Eco reminds us, it has not yet been possible to understand what its true red lines are. Among the issues the communists want to see addressed are: rising salary, the recovery the purchasing power on the part of pensioners or profound changes in the taxes.

Until now, the party defends that the OE for 2022 “does not respond to goals progressive reduction in lower and intermediate incomes and indirect taxes and does not seriously affront large profits and assets, delaying social justice and depriving the State of thousands of million euros of revenue“.

The communists, as far as the matter of taxes is concerned, agree with the BE in reducing the VAT on electricity. At the same time, they also defend the “expressive and urgent valuation of careers and salaries of professionals” of the SNS, the creation of “creches free for all children”, access to housing and changes in legislation labor.

I o PAN it’s the PEV, whose votes have to be combined with those of other parties to make the document viable, were less critical and less demanding. The PAN, in turn, called the presented Budget “unambitious“, for example, with regard to the IRS tax relief and regretted that the “end of exemptions on petroleum products” is not included. The party’s voting direction is in open, similarly to what happens with the PEV, which highlights two gaps in the OE: the increase in the minimum existence and the updating of the IRS levels to inflation rate.

In its online version, Expresso lists and distinguishes between the measures that the Government gives to the left and those that constitute a transgression of the imposed limits.

Measures where the government gave in:

  • Learning Recovery Plan;
  • Creches;
  • Increasing the robustness of the National Health Service;
  • Exclusiveness in the NHS;
  • Increases in the civil service — albeit little representative;
  • Increase in the minimum wage — the final value is not yet known;
  • Combining income from “speculative capital gains”;

Measures where the government didn’t give in:

  • Pensions — Executive stays by the usual increase;
  • Review of IRS tiers — only happened in two;
  • Minimum of existence does not go up;

0c12e8bd6463095f0375f648246837dc The "take it, give it here" to the Left promises to continue. But how far is the Government willing to give in to approve the OE? ARM //