New government alliance: Focus on rental price and austerity measures!
New government alliance: Focus on rental price and austerity measures!
In a crucial meeting, the new federal government made essential resolutions for the budget renovation on March 5, 2025, including a rental price stop that primarily affects old buildings as well as community and cooperative apartments. The rental price stop should prevent rents from increasing an average of three percent from April. According to government coordinators Alexander Pröll (ÖVP) and Michaela Schmidt (SPÖ), this measure achieves savings of 140 million euros in rent expenses. The Chamber of Labor calls for freely financed rental apartments to be included in this stop, while critical voices come from the Austrian House and Land owner Association (ÖHGB), which warn that the rent stop could lead to a delay in renovation and new construction activities, reported dolomitenstadt.at .
further savings measures and time pressure
In addition to the rental price stop, a number of further measures were decided during the Ministerial Council, including increasing the bank tax and the abolition of the educational leave. These changes are to be ratified in the National Council this week. Schmidt explained that it is basically about implementing budget-effective measures as soon as possible in order to "remain a reliable partner at the EU level." Pröll replied to questions about the uncertain financing modalities about the reorganization of educational leave that a new system was being planned, but "more complicated" in implementation, such as finanzen.at reported.The urgency regarding the budget is enormous because the goal is to set the course for consolidation by the end of April or early May. The government must therefore hurry to implement the planned changes in good time. These measures are essential to secure the return of the budget and to react effectively to the challenges of time.
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| Ort | Wien, Österreich |
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