Social Democrats seek 100 million euros in budget changes

Estonia’s Social Democratic Party says it will support the state budget if the coalition backs its proposed changes, worth up to 100 million euros, without bargaining, ERR reported. The Reform Party says it expects the Social Democrats to identify funding sources for most of their proposals.

The Social Democrats voted in the parliamentary Finance Committee to send the budget to the full parliament, but say they do not plan to support it in its current form at the final vote. They intend to submit a series of amendments before the second reading and are seeking support for them without negotiations.

The proposals include larger pay increases for teachers, police officers and rescue workers, as well as additional funding for special care services and healthcare. Party leader Lauri Läänemets said the budget would cut healthcare spending by about 40 million euros, reducing access to medical care. He said special care services would need an additional 30 million euros next year.

Läänemets said the proposals could be funded by stepping up efforts against the shadow economy, reversing tax concessions for remote gambling and reviewing the government reserve.

Reform Party parliamentary group leader Õnne Pillak said the coalition was ready to reach agreement if the proposals had funding sources. She said 37.5 million euros had been set aside in the budget for agreements and that special care funding was a shared concern.

The Reform Party has also spoken with other opposition parties and unaffiliated members of parliament. However, the Social Democrats are seen as the most likely partner in securing support for the budget, as a member of Eesti 200 could still leave the party before the final vote. Support from the full Social Democratic Party would provide the minority government with a larger margin than support from an individual unaffiliated MP.

Unaffiliated MP Tõnis Mölder said the Social Democrats had set a high price for their support. He said additional funding for special care was backed by all parliamentary parties, but argued the budget should remain responsible rather than become a pre-election spending plan. Unaffiliated MPs are due to examine the budget in more detail in the coming weeks; Mölder said they were focused on relief from energy prices and cancelling the fuel excise duty.