“In January 2024, contrary to what I have heard, no one will lose income compared to 2023”. The guarantee was given this Wednesday by the Prime Minister, António Costa, who justified the support measures for retirees to cope with the rise in the cost of living. “The pension to be paid in 2024 will never be lower than the pension to be paid in December 2023”, added, on the sidelines of the ceremony for the award of the name of Gago Coutinho to Faro airport.
The head of government criticized the additional half-pension payout, which will take place in October, with a freeze on the calculation method, which could lead to loss of income by 2024, and was therefore “astonished” political debate”, guaranteeing that these increases be established within one year.
“What I want to confirm first is that no one will lose a cent in relation to what they would receive until the end of 2023, and more, that they will not receive less in 2024 than they received in 2023,” stated António Costa.
He explained that “the increase in 2024 will be determined in a year, depending on the evolution of inflation in 2023”.
“Just as we were here to respond to the need for an extraordinary income increase, with the creation of this extraordinary allowance, just as we were here to ensure that by the end of next year everyone gets what they are entitled to, here we will be a year so that depending on what the reality of inflation is, whatever the reality of the country’s finances, the country’s economy, we can determine the increase for 2024,” he said.
“I sometimes marvel at this political debate, because we are taking measures for 2022, we are taking measures for 2023, and what is being discussed is what will happen in 2024?” he emphasized.
The Prime Minister stressed the need to ensure the sustainability of social security, a fact that justifies the government’s choice.
“I would like to point out that for the past six years we also didn’t apply the formula when we had inflation so low that no pension update of any kind was possible,” he recalls. “The lowest pensions had and even had extraordinary increases of 10 euros this year, because inflation was so low that if we did not make an extraordinary increase, the lowest pensions would have practically no increase,” he added.
What is going on to justify having a specific rule for updating pensions in 2023? Costa asks the question and answers: “As we all know, we are dealing with an extraordinary inflation this year. To give you an idea, the average inflation over the last five years has been 0.8%”.
“Turning this year’s inflation into a permanent impact on Social Security would jeopardize something that is absolutely fundamental to preserve, which is the future sustainability of Social Security,” he justifies.
Costa therefore states that: the measures to support families he presented earlier this week enable “a contract of trust between all”. And he details: “Respect the pensions of those who currently have their pensions payable and who are receiving their pensions. They will get an increase that will offset the rise in inflation this year, which is unlike any increase that has been made during this century.” guarantees that by the end of 2023, all retirees will receive exactly what they would get if we applied the legally provided formula.”
“We also guarantee to anyone who withholds a portion of their salary each month to fund Social Security that when it comes time to retire, Social Security is solid enough so that your pensions are not at risk,” added António Costa. up.
The government, it is recalled, presented on Monday a package of measures to support incomes as a result of the rise in inflation, including the extra payment of the half-pension, which will take place in October, and a support of €125 to be paid. given. to all non-pensioners with a gross monthly income of up to 2,700 euros.
with Lusa
Source: DN
