Czech government proposes changes to social welfare and pension schemes

Minister of Labour Aleš Juchelka said the "superdávka" – a combined benefit for housing, living expenses and child allowances introduced in October 2023 – will be restructured. Using data from 160,000 households, the government plans to reduce payments for many seniors by about a third while increasing support for single‑person senior households, single parents with several children and families with disabilities. The revision is expected to be approved by the Chamber of Deputies in early July and take effect from October.

Vice‑premier Alena Schillerová announced a reform of private pension savings that will cut management fees from up to 2 % of assets to 0.5 % starting next year. Pension companies warned that the lower fees would not cover their costs and could force a shift toward safer, lower‑return investments. The government maintains the sector will remain profitable and added measures such as higher state contributions for young savers, the removal of an investment questionnaire and a life‑cycle investment strategy.