During today’s biweekly debate, José Luís Carneiro began by congratulating Luís Montenegro “because, in a democracy, it is the first time that, in just 24 hours, a rectifying budget has been approved.”
“And that is precisely what was achieved, an authentic rectifying budget, because the prime minister promised in this assembly that, under no circumstances, would taxes be increased. Twenty-four hours later, we learned that a decree was being prepared to increase taxes on petroleum products, which raises revenue by more than 200 million euros,” he criticized.
According to the PS leader, the head of the executive misled the parliament “when asked if taxes would be increased” and challenged the prime minister to implement the PS proposal, rejected in the budget, to allocate the revenue from the elimination of the ISP discount to a reduction in VAT on essential food items.
In response, the prime minister argued that “fiscal policy should be seen as an instrument of economic policy and social justice” and not “in a haphazard manner,” refusing to “auction proposals to see who pleases this or that sector more.”
Montenegro refused to “engage in fiscal adventures that could jeopardize the sustainability” of the country’s public finances.
