The AD – PSD/CDS coalition unveiled its electoral program on Friday at the Lisbon Congress Centre. Focused on corporate income tax, personal income tax, and better wages, the program was presented by Luís Montenegro, the president of the Social Democratic Party (PSD).
Montenegro began his remarks by expressing gratitude for the support received, and he also took the opportunity to greet Nuno Melo, president of the CDS: “Our coalition partner, working so seamlessly at times it seems we are a single party,” he stated.
He emphasized that they are “two parties with distinct identities and structures,” but share a “common interest in serving Portugal.” He assured that citizens could rely on these united parties.
Highlighting the demanding and challenging times globally, Montenegro noted that Europe is being tested. “The external pressure is immense. It’s time to remember the importance of responsibility, realism, and prioritizing collective interest,” he added, affirming that despite Europe’s challenges, “Portugal is doing well and is highly recommended.”
If policies are reversed, results will worsen
Montenegro stated that “Portugal has economic and financial stability and maintained political stability despite the government lacking a parliamentary majority and often facing opposition alignments against its will. Political stability was maintained until oppositions came together to withdraw essential confidence for the government to execute its program.” He remarked that upcoming elections present a chance to “reestablish this stability.”
Reflecting on the government’s work, Montenegro detailed developments regarding youth, increased access to medications for the elderly, recovery of seniors, and career enhancement.
“If policies are reversed, results will worsen. If current policies are maintained and expanded, outcomes will only improve,” he warned.
Montenegro noted that Agriculture is a “strategic sector” for Portugal’s economy and highlighted sectors like mobility, security, immigration, and justice. “Portugal is doing well, but modernization cannot cease. We must continue evolving to attract more investments and generate wealth to be better distributed. And the time? It demands genuine maturity, not adventurous impulses or rushed actions,” he considered.
During his speech, the social-democratic leader highlighted the importance of the team: “My team is known. I will proceed,” he said, moving on to the electoral program “update.” “I won’t attempt to do differently what I have done before. I remain the same, with the same ideas and context,” he emphasized, deeming the program ambitious and realistic in addressing problems.
Closing his speech, Montenegro assured that the AD is committed to doing its part in upcoming campaigns: “We are engaged in a campaign that is serious, based on facts and actions, not insults or insinuations.”
The president of the PSD appealed today for an “elevated and serious” electoral campaign, grounded “in facts and actions, not insults or insinuations,” rejecting criticisms from the PS leader that the AD aims to “govern for a select few.”
Lusa | 19:33 – 11/04/2025
What does the AD electoral program propose?
The PSD and CDS-PP coalition has outlined several plans for the upcoming election, with the executive summary available to Lusa, detailing proposals ranging from higher wages to adjustments in corporate income tax.
Higher Salaries
The AD’s electoral program for the May 18 legislative elections proposes increasing the minimum wage to 1,100 euros and the average wage to 2,000 euros by the end of the term, ensuring no pensioner earns less than 870 euros by 2029.
“Wages will rise as much as the economy’s capacity to create wealth,” stated Luís Montenegro during the presentation.
The AD’s electoral program for the May 18 legislative elections proposes increasing the minimum wage to 1,100 euros and the average wage to 2,000 euros by the end of the term, ensuring no pensioner earns less than 870 euros by 2029.
Lusa | 16:39 – 11/04/2025
Corporate Income Tax Reduction
The AD – PSD/CDS coalition’s electoral program outlines a gradual corporate income tax reduction to 17%, with 15% for small and medium-sized enterprises (SMEs) and promises state payments within 30 days.
“We make this distinction to encourage what is essential to our economic fabric,” asserted the social-democratic leader.
In a previous program involving PSD, CDS, and PPM, with a 2028 horizon, a reduction in corporate tax from 21% to 15% over three years (at two percentage points per year) was projected. Currently, negotiations with the PS for the 2025 state budget have set the corporate tax at 20%, a one-point reduction from 2024.
For the next legislative term concluding in 2029, the AD now proposes a gradual corporate tax reduction to 17%, while SMEs will enjoy a decrease to 15%.
The AD – PSD/CDS coalition’s electoral program outlines a gradual corporate income tax reduction to 17%, with 15% for small and medium-sized enterprises (SMEs), and promises that the state will honor commitments in 30 days.
Lusa | 16:42 – 11/04/2025
Schools and Mobile Phone Ban Until the 6th Grade
Regarding education, Montenegro observed that before the AD’s assumption of office, public schools were in “turmoil” and unstable, but a year later, the “public school system is at peace,” with revised programs and increased hiring.
The AD’s electoral program includes a ban on mobile phones in schools until the 6th grade and plans to provide up to 12,000 preschool slots in areas with identified needs.
Among the twenty signature measures is ensuring childcare and preschool availability for all children and equal educational opportunities, proposing the establishment of “a free study support service for disadvantaged or at-risk students.”
Other commitments include boosting teacher recruitment in regions with teaching shortages and raising the minimum social action scholarship in Higher Education.
The AD’s electoral program includes a ban on mobile phones in schools until the 6th grade and plans to provide up to 12,000 preschool slots in areas with identified needs.
Lusa | 16:46 – 11/04/2025
Program to Reduce IRS by 2,000 Million (500 million this year)
The AD’s electoral program for the May 18 legislative elections plans to reduce personal income tax (IRS) by 2,000 million euros by the end of the term, with 500 million already set for 2025. During his speech, Montenegro: “Answer truthfully and precisely: Did IRS decrease in 2024? Yes or no?”
Other measures include reducing the tax burden on incomes, “especially for the middle class,” and stimulating savings.
The program also promises to “ensure the continuation of new measures for retaining youth,” including a reduced IRS for younger individuals, exemptions from property transfer tax (IMT) and stamp duty, and public guarantees for first-time home purchases.
The AD’s electoral program for the May 18 legislative elections plans to reduce personal income tax (IRS) by 2,000 million euros by the end of the term, with 500 million already set for 2025.
Lusa | 16:40 – 11/04/2025
Deficit, Welfare State, and Defense
Montenegro affirmed that “there is no doubt” with the government, promising to keep public accounts balanced. “No, we do not foresee any deficit in any year of this term, even in 2026 with the impacts of PRR loans,” he stated.
Regarding the welfare state, the PSD leader promised its maintenance, and for defense, indicated that spending would rise. “For national responsibility, but also due to commitments with allies and partners in the EU. We will pursue this with the strategy of boosting our economy, cultivating more defense industries and related fields — contributing to defense equipment. We will achieve economic return without confusing expense with investment. We allocate financial resources but do not issue checks merely to purchase material,” he declared, emphasizing that this would enable Europe to become “proactive in its security policies and deterrent against external threats.”
“But we do this without affecting spending and investment in the welfare state, health, education, mobility, culture, sports, environment, and all public policies,” he guaranteed.
The PSD president pledged today to maintain the country without budget deficits during the upcoming legislature and, concerning the 2024 withholding tax, challenged the Socialist Party’s secretary-general to clarify if IRS had decreased in the previous year.
Lusa | 19:15 – 11/04/2025
Housing
During his speech, Montenegro assured that the youth IRS will “continue,” along with measures for first-time home buyers, which include exemptions from property transfer tax (IMT) and stamp duty.
“There were doubts if our government would enhance the public responsibility to increase housing supply in Portugal. Some accused us of ideological deviations, accusations we face from time to time. Accusations don’t imply correctness or merit. Some claimed we were supporting real estate promotions and private interests, neglecting public policy concerns,” he stated.
National Unit of Foreigners and Borders
If the PSD and CDS return to power after the anticipated May legislative elections, they will continue to push for the creation of the National Unit of Foreigners and Borders (UNEF), a measure rejected in Parliament by PS and Chega.
If the PSD and CDS return to power after the anticipated May legislative elections, they will continue to push for the creation of the National Unit of Foreigners and Borders (UNEF), a measure rejected in Parliament by PS and Chega.
Lusa | 18:10 – 11/04/2025
Security, Justice, and Immigration
Montenegro committed to enhancing community policing and advocated for swifter judicial actions after suspects are presented to authorities: “The penal system needs to offer a more rapid and agile response to this issue,” he stressed.
Discussing the “regulation and humanization,” the prime minister mentioned that immigration must not proceed “without rules.” “We cannot accept having hundreds of thousands of individuals unaccounted for regarding their whereabouts or activities. We cannot maintain efficient processes for attracting human resources without ensuring essentials: decent housing, employment contracts, access to healthcare services,” Montenegro concluded.
The leader of the PSD stated today that a new government under his leadership will amend penal laws to allow summary and rapid trials for serious and violent crimes and vowed to strengthen community policing.
Lusa | 18:55 – 11/04/2025
[Updated news at 23:21]
