Latest news and stories about cost of living in government in Lisboa, Portugal for expats and residents.
This Wednesday features key economic data releases from the INE, a parliamentary hearing for Joaquim Miranda Sarmento, the election of the Nova University of Lisbon rector, and significant institutional inaugurations alongside political debates.
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The Casa para Viver platform is petitioning the President of Portugal to declare the housing crisis a national emergency, advocating for rent controls and eviction protections ahead of nationwide protests.
Leader of Chega, Ventura, has called on the Government to return the additional VAT revenue generated from the recent rise in fuel prices, emphasizing the need to differentiate between individuals and businesses. He criticized the Government's response to the fuel price crisis, particularly the insufficient discount on road diesel, and plans to push for an urgent debate in the Assembly of the Republic.
Chega plans to propose the reinstatement of zero VAT on essential goods, a measure they aim to limit until the end of the year. Additionally, the party is advocating for further government action to reduce fuel taxes.
After Lisbon and Porto urban lines were opened to the possibility of sub‑concession, the mayor of Cascais has proposed that Cascais — together with Oeiras and Lisbon — take over management of the Cascais suburban line and make train journeys within the municipality free for residents, workers and students. The proposal reframes the sub‑concession debate as an opportunity for local control but raises practical questions about funding the revenue shortfall, coordinating services across municipalities, the legal and contractual steps required, and the potential impacts on ridership, local traffic and equity.
A meal in public schools costs around 1.50 euros without a discount. In Lisbon, since 2024, more than 30,000 students without social support (ASE) have been paying half price following a proposal by the Socialist Party (PS) in the council. The measure was renewed in 2025.
The PS, Bloco de Esquerda, PCP, and Livre parties are set to challenge the Lisbon City Council executive's decision to reduce school meal discounts. The opposition argues that the move by Carlos Moedas' administration will increase the financial burden on families during a cost-of-living crisis. While the left-wing parties propose expanding free meals and support for educational materials, the council's education councillor, Rodrigo Mello Gonçalves, defends the cuts as a move to focus resources on those most in need rather than subsidizing high-income households.
Lisbon City Council's proposal for the next school year aims to support families based on income, rather than subsidising high-earners, according to Education Councillor Rodrigo Mello Gonçalves. The plan removes a 50% discount for students not covered by the Social School Action (ASE) programme, while maintaining full support for lower-income brackets. The Socialist Party (PS) and Left Bloc (BE) have criticised the move, claiming it will affect over 30,000 students and harm the middle class. Gonçalves defended the decision, noting that Lisbon remains the only municipality to provide support beyond state-mandated levels.
The invoices listed household expenses, including petrol, electricity, gas, groceries, and transport, concluding that all of them exceeded the value of a salary.
The most dynamic societies are those that promote competition, encourage initiative, and accept change.
Davide Amado, president of the Lisbon PS branch, criticizes the PCP for allegedly rejecting a PS recommendation on the cost of living. However, the PCP abstained, while the right-wing parties (PSD, IL, and CH) voted against it. The article argues that the PS is hypocritical, as it has historically supported policies that perpetuate precarious work, high living costs, and the degradation of public services, while often aligning with the right-wing on economic issues. The author concludes that the PCP's refusal to participate in this political theatre is what the PS labels as 'irrelevance'.
PS leads while AD struggles with the cost of living. In Lisbon, people wait hours to travel while Chega stalls reforms. Between polls and blockages, governance feels like an endless queue.
The sector has mobilised. Families have mobilised. Students have mobilised. The country is now awaiting a clear signal from the Government and the Ministry of Education. Opinion by Pedro Patacho
The Patriarch of Lisbon thinks the salary gap between Portugal and wealthier countries is “one of the great mysteries”. He could start by solving the enigma within his own house.
During the 2024 election campaign, the AD coalition promised an emergency health plan to be executed by the end of 2025. However, a report from the Health Regulatory Authority (ERS) shows that all National Health Service indicators have worsened. By the end of 2025, over one million patients were waiting for their first specialist consultation, a 17% increase from 2024, with 43.7% exceeding the guaranteed maximum response time. The OncoStop program also failed, with oncology surgeries decreasing by 3% and waiting lists growing by 9%. Additionally, the number of patients without a family doctor exceeded 1.6 million in early 2026. In education, the government has failed to provide accurate data on teacher shortages, while secondary school completion and higher education enrollment have dropped by 10%. In housing, prices rose by nearly 19% in 2025, reaching a record high in April 2026. In Lisbon, residents spent an average of 116% of their salary on housing, making home ownership increasingly unattainable. These failures in health, education, and housing demonstrate a significant decline in the quality of life for citizens.
The support measures and exemptions presented by the PS drew criticism from both the left and the right. Irresponsibility, populism, and political opportunism were some of the accusations heard at the Municipal Assembly.
The Patriarch of Lisbon, Rui Valério, is calling for 'humility' from the Government and social partners to reach an agreement on a Labour Package that addresses the population's needs and helps the country overcome its current 'stagnation'. During a press conference at the Sanctuary of Fátima, Valério expressed his hope that the new labour laws will improve the salary conditions of Portuguese workers, noting that he finds it mysterious why Portuguese wages remain lower than those of their European counterparts despite similar costs of living. Meanwhile, negotiations have stalled, and Prime Minister Luís Montenegro is still seeking support from opposition parties to pass the legislation in the Assembly of the Republic.
The editorial board requested clarifications from the author and the director of information at RTP after a segment critical of the Government regarding rising inflation was removed. However, the two versions are contradictory.
Público highlights this Tuesday that airlines are raising ticket prices and charging more for seat reservations and baggage. The newspaper states that the war in the Middle East has doubled the price of kerosene, leading airlines to recalculate for the summer: flights are more expensive, with new fees and cancelled routes. This daily also reports that the AD wants to attract young people to the Armed Forces by offering 439 euros and a driving licence. The programme that the PSD and CDS want to create is called 'Defending Portugal' and operates on a voluntary basis, seeking to 'provide young people with robust training in leadership, discipline and autonomy, and bring new generations closer' to the military branches, says the newspaper, noting that the PS has also presented a proposal for a voluntary programme in this regard. Expresso reports that the Judiciary Police reveals in the latest Annual Internal Security Report (RASI) a 'worsening' of 'antisemitic' acts of violence against official and private entities related to the State of Israel. It also states that these 'illicit actions' have affected citizens and companies from Tel Aviv as well as the Jewish community in Portugal. Jornal de Notícias reports that two-thirds of former mayors take up positions in the State and that political colour is a determining factor, according to a study by the University of Minho. 'Topping the list of destinations is the Public Administration, with a return to their original profession appearing only in fourth place,' the newspaper says. Correio da Manhã states that the Governor of the Bank of Portugal only has 1166 euros in the bank. It explains that Álvaro Santos Pereira - who has held this position since October 2025 with a monthly salary of 19,915 euros - declared to the Transparency Entity that he has money in three current bank accounts. In Diário de Notícias, we highlight that Beijing threatens to retaliate if Brussels approves laws that block Chinese companies. You can also read that inmates at the Lisbon Prison Establishment are determined to denounce what is happening in the prison, which has already earned several convictions at the European Court of Human Rights. They managed to secure a meeting with the management this Monday, but predicted: 'We are almost certain that nothing will change.' Read the DN for this Tuesday, May 5th here. Negócios writes that the Lisbon Metro Red Line is waiting for the EIB to reach Alcântara by 2030. 'The new financing structure for the project, which was removed from the RRP due to delays, is currently being evaluated by the European Investment Bank. The Government believes that the work can be commissioned by the end of June,' it says.
There is something that feels wrong. Perhaps because the city does not belong only to those who can afford the full experience.
CGTP Secretary-General Tiago Oliveira has called on all workers to join a general strike on June 3rd to protest against the government's labour package, which he describes as a major setback for workers' rights. During the May Day rally in Lisbon, Oliveira demanded a 15% wage increase to combat the rising cost of living, the end of flexible working hours, and the implementation of a 35-hour work week for all. The demonstration saw thousands of participants, including representatives from various sectors and political leaders, marching to voice their opposition to the government's policies.
New forms of struggle are expected to be presented, with a potential general strike on the table. Trade union centres expect thousands of people on the streets. Also, the meeting of the PS Political Commission.
Free transport on Carris, rent exemptions, and free school meals are some of the measures. Moedas disagrees and calls for a national or European Union response.
Avenida da Liberdade remained completely full nearly three hours after the start of the parade in Lisbon, amidst protests against the cost of living, the proliferation of conflicts, and populist threats.
The President of the Republic calls for the fulfilment of April, especially in the fight against inequalities. Furthermore, Iran guarantees that there will be no negotiations with the US for now, this weekend in Islamabad.
The secretary-general of the PCP argued, during a session with students in Lisbon, that labour and housing reforms are worsening precariousness for young people and called for mobilisation against the executive.
At issue is the Government's decision to reduce the extraordinary ISP discount on diesel by 1.5 cents.
Luís Montenegro is expected to be confronted by opposition parties regarding the state of negotiations currently reviewing labour law. A social dialogue meeting is scheduled for tomorrow.
Prime Minister Luís Montenegro returns to parliament this Wednesday for a fortnightly debate where the opposition is expected to raise issues including labour law reform, the international economic climate, inflation, and the government's relationship with journalists. The debate will cover topics such as the PS party's concerns over a government contract with NewsWhip, which they fear may be used to monitor journalists, as well as ongoing disputes regarding the cost of living and the government's progress on labour legislation, which is nearing a final decision despite resistance from some social partners.
