Isamaa head: The state budget one of continued chaos
Opposition Isamaa leader Urmas Reinsalu called the coalition's 2027 budget a continuation of chaos. He said the next government must revise is to cut public sector spending.
"This is a manipulation carried out on paper to create the impression that the state's finances are improving. They are actually getting worse. The documents build in delayed spending and unrealistic revenue expectations," Reinsalu said in a speech after the budget was submitted.
He argued that the government was merely postponing spending and would leave a mess behind for the elections.
"The Reform Party boasts that it has now reduced debt. In reality, the debt burden is growing at an accelerating pace: general government debt is set to rise by 1.9 percent of GDP in 2026, 2.5 percent in 2027 and 4 percent in 2028. Interest costs alone will climb from €272 million in 2026 to €635 million by 2030."
The Isamaa leader called several items included in or omitted from the state budget and the state budget strategy bluffs on paper.
As examples, he cited what he described as an inflated estimate of the maximum potential revenue from renting out prison space and a sharp projected increase in corporate income tax revenue. Meanwhile, he said, the €150 million cost of an explosives plant had been excluded from the budget strategy's balance calculations.
"The shifting of spending between years is a sleight of hand in its own right. Through a supplementary budget for 2026, the government wants to bring forward some spending from 2027 and change the rules for accounting for the purchase of stockpiles. The aim of all this is to make the 2027 budget look healthier."
Reinsalu also claimed that the policy of raising taxes would continue, with increases in fuel and energy excise duties planned in the budget. He objected to what he called the budget's continuing lack of transparency.
"This is illustrated by the billions in previously unspent budget funds and a quarter of a billion euros sitting in SmartCap's account."
The Isamaa leader said a new, expenditure-based budget framework law should be adopted (after Riigikogu elections — ed.) in spring 2027, along with a supplementary budget that cuts spending and reduces government operating costs.
"We must make a real contribution to improving the finances of families with children and reduce the burden of indirect taxes. We must give economic growth a genuine boost."
Isamaa is leading all polls ahead of the 2027 Riigikogu elections.
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Editor: Urmet Kook, Marcus Turovski
