Restart of Budget Procedure: Government Withdraws Next Year’s Budget Draft Following Last Night’s Protests

The government has decided to withdraw the draft state budget for next year, along with the financial plans for the State Social Security system and the National Health Insurance Fund.

Ministers are proposing that Parliament adopt a formal decision to retract all three budget bills for 2026.

However, the final say lies entirely with MPs. The 2026 state budget has already passed its first reading in the Budget Committee, while the so-called “small budgets” – for State Social Security and the Health Insurance Fund – have made it through a second reading at committee level. This means the decision to withdraw them must be taken by Parliament.

Ivan Krastev, Deputy Minister of Labour and Social Policy:
“In the draft budget submitted to the Council of Ministers, spending on social payments was set to rise by nearly 25%, while the funds allocated for people with disabilities – benefits and personal assistance – were expected to increase by around 40% in total. This directly reflects the poverty line and the rise in the minimum wage. If we remain with this budget unchanged, how will the financing be secured? The arithmetic doesn’t add up on a one-twelfth basis. It is simple maths, and you can clearly see that the funds simply wouldn’t be sufficient.”

A meeting between trade unions and employers is also expected later this afternoon at the Ministry of Finance.