New Federal Ministry Law: Government is planning bold savings!

New Federal Ministry Law: Government is planning bold savings!

On March 6, 2025, Austria's new federal government is about to take an important step: the National Council's Constitutional Committee today gave the green light for a significant new regulation. With a majority from the three-party coalition of ÖVP, SPÖ and NEOS, an amendment to the Federal Ministries Act was passed in order to fix the distribution of departments. These changes are intended to ensure that the new ministers and state secretaries can take on their duties from April 1, 2025. At the same time, a provisional budget will be adopted in order to secure liquidity until the double budget is approved Small newspaper reported.

The restructuring includes numerous savings measures, including an increase in the bank levy, the end of the VAT exemption for photovoltaic systems and an increase in tobacco taxes. Critics, including members of the FPÖ and the Greens, expressed concerns about the adjustments to the Freedom of Information Act and the separation of climate and environmental protection from energy issues. The new ministers, including State Secretary Alexander Pröll and State Secretary Michaela Schmidt, emphasize the need for a clear distribution of competencies to ensure effective government action, as stated on the official website of Parliament ( Parliament portal ) is highlighted.

Significant changes in the distribution of departments

The new government, led by Chancellor Christian Stocker, includes 13 ministers and seven state secretaries, although the number of ministries remains unchanged. However, there are significant shifts in the distribution of departments: the previous Ministry for Art and Culture will now be responsible for housing, art, culture, media and sport, and the job market-relevant areas of responsibility will also be redistributed. For example, the new Federal Ministry of Labor, Social Affairs, Health and Care will take over the previous work agendas, while economic matters will be organized in a new Ministry of Economics, Energy and Tourism. These structural changes reflect the new challenges facing the government and are intended to increase the efficiency of its work.

In addition, in order to strengthen transparency, mandatory internal auditing will be introduced in the ministries, which was not the case previously. These measures aim to clearly define political and legal responsibilities and improve cooperation between departments, especially with regard to EU projects and legislation, according to an expert comment from the Federal Chancellery. Given these fundamental reforms, it is clear how important it is that all actors in the new government work together to meet the challenges of the coming years.