OE2027. PS wants to lower ISP and VAT on the food basket "at the expense" of IRC and the end of moderate rents

The PS proposes a temporary reduction of ISP and VAT exemption on essential food items, offset by suspending IRC cuts and revoking moderate rents. This was announced by PS parliamentary leader Eurico Brilhante Dias, who stated that around 280 amendments to the 2027 State Budget will be presented without jeopardizing the budget balance. The ISP reduction aims to match the VAT decrease on fuels from 23% to 13%, while the VAT exemption on food is countered by eliminating tax incentives for moderate rents capped at 2,300 euros. Brilhante Dias emphasized that these measures would exceed the costs of the proposed initiatives.