Increase in funding

Despite the budget crisis, more money is flowing to political parties

Stocker and Babler are increasing party funding—and Herbert Kickl is likely to be doubly pleased.(Bild: APA/HELMUT FOHRINGER)

Budget consolidation was supposed to affect everyone in Austria—at least that’s what the government promised. And indeed, everyone from pensioners to families, businesses, and universities is being asked to foot the bill, either through cuts or additional taxes and fees. One group the three-party coalition has “forgotten” is the political parties.

On Wednesday, Finance Minister Markus Marterbauer will deliver his budget speech. Until the very last moment, there was debate within the coalition over party funding and the new rules regarding “parking” employees at the AMS. On the issue of the unemployed, employers are to be asked to pay more when employees are registered as unemployed even though their re-employment is certain. Employees would also have to contribute by forgoing unemployment benefits for a period of time.

A total of 200 million euros is expected to be saved here. However, the social partners have so far been unable to reach an agreement, which in turn has prevented the government from reaching a consensus. Furthermore, despite harsh austerity measures affecting citizens, the ÖVP and SPÖ wanted to replenish their depleted party coffers.

Renegotiations following “Krone” report
The ÖVP even demanded an increase of more than three percent and, at the same time, wanted to raise party funding—which amounts to 29.8 million euros this year—by one percent, or around 300,000 euros. The NEOS put the brakes on all of this until the very end. Following “Krone” reports about a possible compromise to increase party funding by (according to the latest state of negotiations) one percent (380,000 euros), renegotiations took place again on Monday evening. Ultimately, the compromise was to not increase party funding after all, but to increase parliamentary group funding instead. In any case, funding for the Academy should not be increased, according to sources close to the negotiations.

Party funding also suits Herbert Kickl very well.(Bild: APA/HELMUT FOHRINGER)

For the FPÖ, any increase would be doubly beneficial, as it would provide the Freedom Party not only with a lot of money but also with a grateful political issue. Party leader Herbert Kickl personally stepped in on Monday to lambast the coalition for its plans regarding party funding. In a press release, he wrote of “unprecedented shamelessness.” He said it was intolerable that citizens should have to pay the price for the financial failures of an out-of-touch political caste while the “establishment parties” helped themselves.

“Real reforms are lacking”
The neoliberal think tank Agenda Austria warns that pensions and healthcare are driving the deficit. In total, government spending in 2025 was 6.1 percentage points of GDP higher than in 2019. The government is thus spending over 30 billion euros more than it did seven years ago. More than half of the increase in the government spending ratio is attributable to health care and pensions; this amounts to approximately 18.4 billion euros in additional spending. “There is a lack of genuine reforms; the government is once again merely making minor adjustments. First and foremost, taxpayers are footing the bill for budget consolidation through new taxes,” says economist Dénes Kucsera.

Das Budget

Ein Mix aus Einnahmen und Ausgaben

Bis 2028 soll ein Defizit von drei Prozent erreicht und damit das EU-Defizitverfahren wieder verlassen werden. Das Einsparungsvolumen macht rund 2,5 Milliarden aus, weitere 2,5 Milliarden sollen für die „Zukunftsgestaltung“, wie es die Regierung nennt, frei gemacht werden.

Darunter fallen etwa die Senkung der Lohnnebenkosten um einen Prozentpunkt, die Wiedereinführung des Agrardiesels, Einsparungen in der Verwaltung, die Verlängerung der strategischen Gasreserve sowie des Industriestrombonus und Industriestrompreises oder auch die Einführung eines Energiekrisenmechanismus zur Deckelung der Strompreise.

Auch sind Investitionen in die Pflege ebenso vorgesehen wie Maßnahmen für eine aktive Arbeitsmarktpolitik und den Kampf gegen Kinderarmut.

Durch Einsparungen in der Verwaltung und beim Personal durch einen Mix aus unterschiedlichen Sparmaßnahmen und den verstärkten Einsatz von Digitalisierung will die Regierung die Auszahlungen des Bundes von 24,1 Prozent des BIP (2026) bis 2028 auf 22,8 Prozent drücken. Zusätzlich sollen klimaschädliche, indirekte Förderungen ab 2028 um 150 Millionen Euro pro Jahr reduziert werden. Hier sei ein Ökologisierungsbeitrag vorgesehen.

Bis zuletzt gab es dem Vernehmen nach auch Diskussionen um das Verteidigungsbudget. Nun soll es 2027 auf insgesamt 5,3 Milliarden steigen und im Jahr darauf dann noch einmal geringfügig auf 5,43 Milliarden. Das Frauenbudget soll auf knapp 51 Millionen angehoben werden, und damit auf einen „historischen Höchststand“ kommen.

Für das zweite verpflichtende Kindergartenjahr sollen die Voraussetzungen geschaffen werden. Dafür werden zusätzliche Aktivmittel in Höhe von 340 Millionen Euro in den Ausbau der Elementarbildung investiert.