Austria increases social budget while agrarbudget sees modest declines

During the budget debate on 9 July, Austria’s SPÖ social spokesperson Josef Muchitsch announced that the social budget was raised by €1.7 billion despite overall budget consolidation. He said the increase will protect pensions, health care, long‑term care and the labour market, adding, “Wir wollen das Vertrauen der Menschen wieder herstellen – in die Pflege, die Pensionen, die Gesundheitsversorgung und in eine funktionierende Arbeitsmarktpolitik.”

At the same time, the government presented the 2027‑2028 agrarbudget, which falls by about 1.2 % to €2.84 billion, a 9 % cut in the sector’s overall allocation. The reduction is attributed mainly to lower EU funds for the Common Agricultural Policy. While the Green Party’s agrarspokeswoman Olga Voglauer labelled the plan a “Klimaflop”, other measures such as the agrardiesel rebate and funding for the forest fund remain in place. The ÖVP agrarminister Norbert Totschnig highlighted that the sector will still contribute €230 million to overall budget consolidation.