Viktor Orban Poursuit son offensive nataliste. The Hungarian parliament adopted measures on Tuesday aimed at exempting from lifelong taxes all mothers of at least two children. Currently, and since 2020, only mothers of four and more children benefit from this tax advantage.
As of next year, those under the age of 40 will be affected before a progressive extension to encompass the over 60 years by 2029, according to this legislative package adopted by a large majority.
The ultra-conservative Prime Ministerardent defender of “traditional” values, thus extends its policy intended to stop the decline of the population of the country of Central European threatened by aging. Hungary has lost residents for over 40 years: they are 9.5 million currently, compared to 10.7 million in 1980.
Free crèche, housing assistance or the purchase of a vehicle, “baby loans” … The list of advantages has been lying over the years. This strategy, which arouses the interest of conservative circles, especially in the United States, is however very expensive for mixed effects.
Expensive measures
Announced at one year from legislative elections that are announcing tight, the new measures will cost 2.3 billion euros by 2029, according to government estimates, economists worrying about an aggravation of already high deficit and inflation.
“This is a financial challenge,” said Viktor Orbán at the end of February, but “this tax reduction program, the most important in Europe” will transform Hungary into “tax haven for families”.
Go Dopy the birth rate ? The fertility index fell to 1.31 children per woman in March, according to official statistics, after a peak of 1.61 in 2021 for a European average which was then 1.53.
The Hungarian leader, himself a father of five, may argue that when he arrived, the rate was at a historic lower of 1.23. But it is still very far from the 2.1 threshold necessary for the renewal of generations, an objective that the government, forced to repel the deadline, now hopes to reach in 2035.