Austria's budget hole: Millions of savings are imminent!

Austria's budget hole: Millions of savings are imminent!

Austria's finances are facing a dramatic turn! According to the recent statements by WiFo boss Gabriel Felbermayr, both the FPÖ and the ÖVP have to save rigorosis in view of an enormous budget of 6.3 billion euros. In an interview, Felbermayr clearly expressed that new taxes were rejected by both parties, so only the way remains through radical spending cuts to overcome the financial bottleneck. "Successful consolidations always happen both outdoors, but also on the income," said Felbermayr in the press hour on Sunday. But the prospects are not very gratifying: "In any case, it will not be pleasant," he added.

free gifts? Not long!

The deletion of the climate bonus, which would save over two billion euros alone, could be particularly painful. This could happen abruptly to avert an impending EU deficit procedure that would otherwise require drastic measures. Felbermayr also promised the reform of educational leave and other subsidies, which are now more likely. "The will to do this is probably higher in the constellation, which is upgraded, than was previously the case," said the WiFo boss.

The SPÖ, on the other hand, warned of the economic consequences of a hard austerity course that could be necessary through the current political efforts. Josef Muchitsch, social spokesman for the SPÖ, emphasized that an independent renovation would reduce the scope for economic activity to zero. In view of a stagnant economic growth, the pressure on the future government will increase to reform the pension system and to rely more on operational pensions in order to stabilize the budget situation.

As the small newspaper reported, the pressure to act on the federal government is immense: "Without deficit proceedings, Austria will have to save 6.3 billion euros," warned Felbermayr. Successful budget consolidation therefore becomes the central task of the new government constellation, which will not do without painful cuts.