Socialist Party challenges Portugal's budget over energy and living costs

The Socialist Party (PS) is challenging the Portuguese government regarding the 2027 State Budget, expressing concerns over rising living costs and insufficient funding for critical sectors.

José Luís Carneiro, Secretary-General of the PS, has requested an urgent parliamentary hearing with 16 economic and social entities, including the Confederação Empresarial de Portugal (CIP). The goal is to diagnose the uneven impacts of rising energy costs on businesses, workers, and various industrial sectors such as ceramics and glass.

Additionally, the PS has raised doubts about the adequacy of funds allocated for post-PRR (Recovery and Resilience Plan) projects and for compensating damages caused by recent storms. While Prime Minister Luís Montenegro maintains that investment plans are being executed, the PS is demanding more clarity on financing sources and has proposed measures such as the return of 'Zero VAT' on essential food items and tax reductions on fuel to mitigate the cost-of-living crisis.