The Saeima adopted all the bills accompanying the budget for the next year 0 4

The deputies began work on the budget for the next year on December 3.

A total of 290 proposals have been submitted to the law on the state budget for 2026 and the budget framework for 2026, 2027, and 2028. Earlier, only some proposals to the budget for the upcoming year submitted by opposition deputies received support in the budget and finance (tax) commission of the Saeima.

Among other things, starting next year, an increase in support for families with children is planned, as well as the application of a reduced value-added tax (VAT) rate of 12% for certain essential food products from July 1, 2026, to June 30, 2027. In addition, changes were made to nine laws, providing for gradual reforms of the existing pension system based on length of service starting in 2027.

The revenues of the consolidated state budget for 2026 are planned at 16.1 billion euros, while expenditures are set at 17.9 billion euros. Compared to the 2025 budget, revenues have increased by 944.6 million euros, and expenditures by 804.3 million euros.

The budget deficit for 2026 is planned to be at 3.3% of the gross domestic product (GDP). The increase in the deficit compared to the projected level of 2.9% in 2025 is mainly related to a significant increase in expenditures for strengthening defense and security, long-term support for Ukraine, and investments in enhancing public safety.

The main priorities of the budget for the next year are identified as strengthening security and developing defense, supporting families with children, and improving the quality of education - for these purposes, additional funding of 693.5 million euros is allocated.

Considering the geopolitical situation, an additional 448.3 million euros is planned for strengthening state security next year, including funding for both military capabilities and internal security and cyber defense of the country.

In 2026, additional funding of 94.8 million euros is allocated to strengthen support for families with children and improve material assistance for children under foster care.

To ensure access to quality education for all children in Latvia, regardless of their place of residence or the size of the school, an additional funding of 45 million euros is planned in 2026 for the implementation of a new teacher salary model "Program in School," including support staff.

Additionally, 105.4 million euros are expected to be directed to other activities, including in the healthcare sector.