The Socialist caucus unanimously supported the government’s draft budget, caucus leader Attila Mesterházy told reporters at a press briefing he held with Prime Minister Gordon Bajnai and Finance Minister Péter Oszkó in Budapest on Monday.
Bajnai said the draft budget is “characterised by austerity, but is also about restoring respect for work, tax cuts, and improving public safety”. The premier added that “Socialist MPs understand that Hungary has to continue crisis management so present results can be maintained” and listed public safety, health care, and local authorities among the “winners” of the budget.
Mesterházy revealed that the cabinet will submit the draft to Parliament on September 11, adding that it only takes into account the nation’s long-term interests.
The draft budget will today be submitted to the cabinet for a first reading.
Oszkó said Ft 40 billion will be cut from public transport spending, but the concrete package of measures has not been finalised. He added that local authorities will see Ft 120 billion removed from their budget next year. As regards education, there is no question of reducing classes or teacher numbers, Oszkó underlined.
Fidesz deputy chairman and former finance minister Mihály Varga later told reporters that “Hungary will be the loser of the government budget next year, as the government plans to siphon off Ft 120 billion from local authorities, Ft 40 billion from health care and Ft 230 to 250 billion from ministries’ budgets.”