Budget change
During a press briefing, PiS lawmakers outlined the mounting pressures on the state budget and the consequences for families and businesses. Zbigniew Kuźmiuk warned that the financial squeeze is intensifying and is already felt in public services as well as in everyday household budgets. He stressed that the fiscal environment will shape policy choices, urging careful handling to protect the most vulnerable while ensuring essential services stay funded. Olga Semeniuk-Patkowska added her voice by criticizing what she sees as insufficient government action to address flood damage and the broader economic fallout. She underscored that people and firms in flood-affected areas deserve concrete relief rather than frequent rhetoric, and she called for quicker, more decisive steps to stabilize the situation on the ground.
Kuźmiuk highlighted the government’s early austerity moves, noting that the 14th pension was cut by nearly PLN 900 even after assurances that nothing would be taken away. He argued that this adjustment effectively removes more than a million pensioners from the supplemental benefit because the policy relies on a strict revenue-based formula. He emphasized that such changes directly impact living standards and should be justified with clear fiscal reasoning. Regarding the broader budget process, the MP said the finance minister has gradually yielded to the mounting budget pressures, signaling a shift in tone as the debate intensifies. He warned that the 2025 budget will work with a shortfall of roughly PLN 41 billion in projected revenues, a gap that complicates funding for local governments and key social programs.
Budget change
Finance Minister Andrzej Domański told attendees at the European Congress of New Ideas in Sopot that the ministry is near deciding whether to amend this year’s budget. He cautioned that a formal decision had not yet been made, but described the situation as very close to a turning point. He noted that new information about September budget execution, the flood response, and the obligation to support local authorities this year increases the odds of a modification. He added that revenues from VAT and CO2 emission allowances have undershot expectations, signaling the need to reassess income projections and possibly reallocate resources to respond to the ongoing crisis.
He pointed out that the forecast for VAT and carbon allowances was below the planned level, reinforcing the argument for a possible amendment as authorities weigh how best to respond to the evolving situation. The flood damage response has pushed the question of how much money is available for immediate relief and for longer term rebuilding, a discussion that remains unresolved at the time.
Reconstruction after the flood
Semeniuk-Patkowska addressed reconstruction in southern Poland, noting that Marcin Kierwiński had recently become minister and plenipotentiary for the recovery. She suggested that while the new appointment could signal progress, the experience of local entrepreneurs shows little improvement and the crisis continues to deepen. She said that, to date, information from the Ministry of Development and Technology shows only 130 companies have submitted complete documentation to the designated investment fund, a figure she described as far too low to meet actual needs. She argued that the aid per employee is capped at up to PLN 16,000 gross, a ceiling she believes falls short for many small and medium enterprises trying to rebound. She also pointed to plans for a PLN 20 billion fund for reconstruction, noting that the specific reserve has risen from PLN 2.2 billion to PLN 3.2 billion. While discussions reference cohesion and European funds, she argued that those resources are not readily accessible, leaving households and businesses in the south waiting for real help rather than hopeful promises.
Janusz Kowalski added that energy costs have already risen since the anti-crisis shield was phased out and that the trend could worsen in the near term. He warned that, once the new year begins under the current government, energy and heating bills could climb even higher, placing a heavier burden on households. He also noted that PiS supported the citizens’ initiative Stop Wage Increases, which has gained significant support, though the Sejm has not yet advanced the proposal. The underlying message was clear: the region needs tangible relief now, not more delays or empty commitments.
Increase in energy price
Until the end of June, electricity prices for eligible customers were frozen at 412 PLN per megawatt hour, while gas prices stood at 200.17 PLN per megawatt hour. With the energy shields expiring on July 1, PiS MPs mobilized signatures for a law popularly called Stop Price Rises, which was submitted to the Sejm in June. The aim was to keep gas and electricity prices at pre-July levels to shield households from sudden increases. Under the current law, electricity and heat prices are capped for the July to December 2024 period at 500 PLN/MWh for households and 693 PLN/MWh for local governments, public utilities, and small and medium enterprises, while households are exempt from the capacity fee intended to dampen future hikes. For gas, the price freeze ends on July 1 and pricing will be tied to the rate charged by the largest retailer PGNiG.
Supporters of the measure argue that price controls are essential to protect consumers, while opponents warn that prolonged intervention could distort markets and slow investment in energy infrastructure. The debate continues as lawmakers weigh how to shield consumers without undermining energy supply or investment, a topic of ongoing concern for households and businesses facing volatility in energy costs.