Political instability? Safeguard yourself and ensure your credit and insurance portfolio! Find out how you can save on these products, alongside a credit intermediary from Poupança no Minuto. But read more about the measures that are losing validity in this article.

OE2024 proposal loses validity with government resignation.

The State Budget proposal for 2024 now expires with the resignation of the Prime Minister (PM), António Costa. It is the Portuguese Constitution that imposes it: "The proposals for laws and referendums expire with the resignation of the Government", number 6 of Article 167.

This proposal had already been approved by the majority, but now loses validity with Costa's announcement. The PM submitted his resignation to the President of the Republic, who did not oppose the decision.

The resignation follows the Public Prosecutor's revelation that António Costa is under a separate investigation by the Supreme Court of Justice regarding lithium and hydrogen projects.

It was at his official residence, in São Bento, Lisbon, that António Costa justified his resignation, considering that the functions of Prime Minister are not "compatible with the suspicion of any criminal act". Note that this residence was also searched, directed at his chief of staff, Vítor Escária, and members of his Government.

It was eight years of government, during which António Costa remained as Prime Minister of Portugal, having been sworn in on November 26, 2015 by Cavaco Silva, the President of the Republic at the time.

But what measures with an impact on income expire?

Remember then what were the measures of the OE2024 proposal that would increase taxpayers' incomes, which are now expired with the Government's resignation:

Income reinforcement

Reduction of the average IRS tax rate for all income brackets;
Extension of the Young IRS;
Free pass for all students up to 23 years old;
Repayment of one year of bribes for each year of declared work in Portugal;
Increase of the National Minimum Wage from 760 euros to 820 euros.
Pension update of 6.2% up to 1020 euros;
Increases in Public Administration salaries;
Overtime up to 100 hours per year paid;
Elimination of the reduction in allowances and transportation subsidy;
Increase in deduction of union dues from 50% to 100%; & nbsp;

At home

Budget of four million euros for the Porta 65+ program, which would be extended to single-parent households or those experiencing a decrease in income greater than 20% in the three previous months;

Five million euros budget for the Rent to Sublet program, aimed at households with a gross annual income equal to or less than the 6th IRS bracket, with 106 affordable rental homes allocated in 18 municipalities across the country.
Reinforcement of the public housing park at affordable costs for households with intermediate incomes, which would be expanded to 6,800 units by 2026, with a budget of 216 million euros.

These measures expire, and it is expected that we will start 2023 with the "old" budget, under the duodecimals system.

Decrease your credit and/or insurance charges.

So, how can you reduce charges and increase your savings? If you have credits and/or insurance, there may be several solutions to lower the installments, such as transferring the product to a new entity. Especially if you have a variable rate housing loan.

If you have a mortgage loan tied to the Euribor, know that currently the values of these rates at various terms hover around 4%, and there are banks with mixed rate campaigns starting at 3.35%. In addition to lower rate values, the mixed interest rate regime allows you to have a fixed rate over an initial period, ensuring security and stability. Unlike the variable rate, which is expected to continue rising, subject to Euribor fluctuations and can bring surprises.

After the initial period, the mixed rate then allows you to return to the variable rate, at a time when it is expected that Euribor rates will be lower.

And you can access by advancing with a credit transfer, at no cost, that gives you new (and better) conditions.

Is this a solution for you? Would you like to know other solutions, especially in your insurance? Then talk to us ! We provide a free credit intermediation and insurance mediation service, seeking the best solution for you!

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