Reinsalu: Raising fines shows government's budget desperation
State fines and fees will rise in the future as the government tries to close the €400 hole in its budget. Opposition politicians say this shows the coalition's desperation.
State fees last increased eight years ago. Minister of Interior Lauri Läänemets (SDE) said now is the time to modernize them.
"This concerns civil status acts, work permits for foreigners, identity documents under the Estonian Weapons Act, and what is now important for people, for instance, the state fee for an ID card will not be raised to its actual cost. We will increase it by half less," Läänemets told Wednesday's "Aktuaalne kaamera".
The price of issuing an ID card will rise from €30 to €45, and the cost of a temporary residency permit will quadruple from €64 to €225.
In total, all the changes combined could bring €13 million to the state budget. Läänemets said €19 million could have been raised but the government did not want to increase the burden on people.
The Ministry of Justice will also raise the fine unit price from €4 to €8. It was last increased 20 years ago. Automated traffic fines will be raised from €5 to €7 for every kilometer over the limit. But there will also be some relief.
"Whereas the previous law allowed for a minimum fine of three fine units, today we are bringing it down a bit so that it can be one fine unit. In this sense, those who commit legal violations must indeed contribute more to the state budget, especially since the costs of proceedings have increased," explained Minister of Justice Kalle Laanet (Reform).
Opposition party Isamaa's Chairman Urmas Reinsalu said fine rates must be reviewed from time to time, but this plan will not save the government's budget plan.
"I think it reflects a desperation in government that they are not able to manage the country's fiscal policy. The country's fiscal strategy has turned out to be a complete sham," Reinsalu added.
The changes will enter into force at the start of 2025, but must be discussed in the Riigikogu first.
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Editor: Merili Nael, Helen Wright
Source: Aktuaalne kaamera