Prime Minister Luís Montenegro stated that his administration has reduced taxes for families and companies by approximately 5.2 billion euros over the past two and a half years. This total includes 3.5 billion euros in IRS reductions—split between general tax cuts and a specific regime for youth under 35—and 1.2 billion euros in IRC (corporate tax) reductions.
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During a parliamentary debate on the 2027 State Budget (OE2027), Prime Minister Luís Montenegro defended the government's proposal, dismissing criticisms that it fails to address the rising cost of living.
Between January and September 2026, there were 479 collective dismissal notices, an increase of nearly 16% compared to the same period in 2025. While the number of notices is the highest since 2020, the total number of workers actually dismissed in these processes fell by 2.18% year-on-year to 5,294.
The European Central Bank is expected to maintain its current key interest rates, including the 2.5% deposit rate, at the meeting scheduled for Thursday, 29 October. Analysts anticipate a possible rate hike in December, citing persistent inflation concerns and energy price shocks despite the current decision to pause.