The parties in the Folketing must shorten their wish lists for next year’s Finance Act when they are soon summoned to negotiations.
At least that is the message from the government in the budget bill that was presented to the parties tonight.
– There is a much smaller pool to negotiate with the other parties than there usually is. This is something that means that there may be some messy negotiations that the Minister of Finance must start, explains political correspondent in DR Christine Cordsen.
The government has allocated DKK 9.2 billion to a so-called ‘war fund’, which is earmarked for the fight against the consequences of the corona crisis.
At the same time, the government is proposing a negotiation pool of DKK 1.5 billion this year, which is DKK 600 million less than last year.
– Most of the money goes to making sure you have this war box, as the Minister of Finance calls it. That is, expenses under the coronavirus outbreak.
– And it is both to help, so that you do not lose too many jobs , to expenses in the health care system and to purchase vaccines at a time so that Danes can be vaccinated for corona, says Christine Cordsen.
Deficits go straight to the EU border
With the Finance Bill, the government is balancing on the edge of how large a deficit in public finances it must budget with in relation to the fiscal pact between the EU countries .
Here, the general government deficit must not exceed 0.5 per cent of the gross domestic product, GDP , which is the value of Denmark’s total services and services.
And it takes full advantage of the government, Christine Cordsen explains:
– It is true, as the Minister of Finance says, that you spend a lot of money. In fact, we are going all the way to the limit within EU rules and our own budget law in relation to how big a deficit we plan to have for next year.
Tomorrow at 12 noon, Finance Minister Nicolai Wammen will present the government’s proposal for the Finance Act .
The proposal must be negotiated between the parties in the coming months, and the Finance Act must be in place before Christmas.