Portugal's Govt Pushes Single Social Benefit Reform

The Portuguese government has advanced a proposal to create a single social benefit, the Prestação Social Única (PSU), which would merge 13 existing supports into one payment. The draft, approved on 12 June, was sent to the specialised committee without a plenary vote, drawing opposition from BE, PCP and former PS leader Pedro Nuno Santos. The centre‑right Chega leader André Ventura announced the move as part of an agreement with PSD.

On 17 June, the left‑wing party Livre submitted a parliamentary request demanding an urgent hearing of the Minister of Labour, Solidarity and Social Security, as well as several agencies—including the Institute of Employment and Professional Training, the Social Security Institute and the European Anti‑Poverty Network—to discuss the PSU's design and impact. Livre argues the process should follow full parliamentary scrutiny.

Critics warn the PSU could stigmatise claimants by conditioning the benefit on up to 15 hours of weekly unpaid social work and by introducing a reporting mechanism that may foster distrust. They note that Portugal still has 9.2 % of workers in poverty (Eurostat, Nov 2025) and caution that the reform could undermine dignity. The government stresses that failure to implement the reform could jeopardise about €620 million of European Commission funding linked to the Recovery and Resilience Plan.