The Chega party proposes a reduction of VAT on petrol and diesel from the current 23% to 13%. This measure would be part of a strategy to lower fuel prices for consumers.
According to the article, a reduction of this nature could cause a loss of revenue for the State estimated between 1,100 and 1,200 million euros. The amount represents a significant impact on Portuguese public finances.
João Duque warned that this loss of revenue would force the State to find compensations in other areas. According to the specialist, the country would have to make difficult decisions about where to cut spending.
Duque's warning was particularly direct in stating that it will be necessary to decide which hospitals close, underscoring the impact that the measure would have on public health services.
