Greece 2027 Budget outlines pension increases and economic reforms

Greece’s draft 2027 Budget outlines significant shifts in the national income landscape, impacting pensioners, employees, and the self-employed. A major reform involves the complete abolition of the offset between annual pension increases and the ‘personal difference’ (prosopiki diafora) for approximately 670,000 pensioners who retired before May 2016. This change ensures these individuals receive their full annual increase, estimated between €40 and €50 per month.

Overall, pensions are projected to rise by approximately 2.8% to 2.9%, based on forecasts of 3.8% inflation and 2% economic growth. For example, the average gross old-age pension is expected to rise from €975 to roughly €1,002.30 per month. While pensioners and some debtors may see relief, self-employed professionals could face higher costs due to rising social security contributions driven by inflation.

Additionally, the government has prepared action plans for various ministerial reforms aimed at the 2027 period to shape the country’s economic and social structure.