Government meets with parties regarding 2027 State Budget

Monday, 28 September 2026AI summary

🏛️ Government 💶 Finance #state-budget #government-policy #chega

Government meets with parties regarding 2027 State Budget — Photo: MIGUEL A. LOPES/LUSA

The government has initiated meetings with political parties to discuss the 2027 State Budget, which projects economic growth of approximately 2% and a surplus between 0.1% and 0.2% of GDP. The party Chega, represented by parliamentary leader Pedro Pinto, criticized the proposal as insensitive and lacking tax relief, while the party Livre indicated it is unlikely to support the final budget.

Update: Government outlines 2027 budget projections and fiscal costs

The government's budget framework (Quadro de Políticas Invariantes) indicates that the planned reduction of the corporate income tax (Imposto sobre o Rendimento das Pessoas Coletivas or IRC) to 19% will cost the state approximately 300 million euros in 2027.

Context & Explainers

André Ventura, born January 15, 1983, is a lawyer, academic, and Portugal's most prominent far-right leader. He founded Chega ("Enough") in 2019 after his PSD mayoral campaign attacked the Romani community. Chega surged from 1.3% in 2019 to 22.8% in May 2025, becoming parliament's second-largest party and making Ventura Leader of the Opposition.

His platform emphasizes immigration restrictions, law-and-order policies, constitutional reform, and contains inflammatory anti-Romani rhetoric that has triggered multiple discrimination convictions and investigations. Politically classified as far-right by international media, Ventura cultivates alliances with European far-right figures including Marine Le Pen and Santiago Abascal.

Leader: Rui Tavares
Ideology: Green left-wing politics, libertarian socialism

LIVRE (meaning "Free") is a green left-wing party founded in 2014 by historian and former MEP Rui Tavares. The party struggled for years before finally electing Tavares as its first MP in 2022, then grew to 4 seats in 2024 and 6 seats in 2025—making it the only progressive party to gain ground in recent elections. LIVRE focuses on environmental protection, human rights, and progressive social policies while maintaining a pro-European stance.

The corporate income tax (Imposto sobre o Rendimento das Pessoas Coletivas or IRC) is a tax levied on the profits of companies operating in Portugal. It applies to both resident entities and non-resident entities with income generated within the country.