Asylum, Social Assistance, Rent: The Government Program in Detail

The government program of the candy coalition of ÖVP, SPÖ, and NEOS is more than 200 pages long and bears the title "Do the Right Thing Now. For Austria". It emphasizes "consensus and pragmatism".

Asylum, Tenancy Law, and Social Issues Important Points in the Government Program

The government announces strict measures, especially in the area of asylum. Family reunification is to be "immediately" stopped at least temporarily, and a headscarf ban for underage minors is also targeted. Measures in tenancy law are also included in the program, such as increasing the minimum duration of fixed-term rental contracts to five years. The plan for the development of the federal army will be maintained, as well as participation in Sky Shield. The ORF fee will not be increased until 2029. In childcare facilities, a healthy snack will be provided for free. Women's hygiene and contraceptive products are to be exempt from VAT.

According to the draft, innovations are also planned in the area of poverty and social issues. Child poverty is to be countered with a "child basic security" and halved by 2030. The current social assistance is to become a "new social assistance" with a uniform daily rate based on the compensatory allowance guideline rate. The social assistance created in 2019 under the black-blue coalition set maximum limits instead of the minimum standards that were valid until then.

The Government Program in Detail

Asylum

Temporary Stop for Family Reunification

Unexpectedly strict, given the SPÖ's participation in the government, are the measures planned by the coalition in the area of asylum and integration. Family reunification will be temporarily stopped with immediate effect. When it is allowed again, spouses can only join from the age of 21, not from 18 as before. A headscarf ban for girls is to be reintroduced. There are difficulties regarding citizenship.

The joint asylum policy of the Union is to be further developed according to the government program so that the number of applications in Austria itself is reduced to zero. If necessary, the EU emergency clause would be triggered in the event of rising application numbers, which would de facto mean no more applications would be accepted. In resettlement programs, no one would be taken in until border protection functions.

Return Procedure Centers to Prevent Disappearance

Return procedure centers are to be established. In these, people whose asylum applications have been rejected are to be accommodated to prevent them from disappearing.

In basic care, the model of a benefits card is to be expanded. Furthermore, performance checks are to be intensified. Accommodation providers are to be automatically compensated for inflation.

Antisemitism Declaration

A mandatory integration program is being introduced for those entitled to protection and asylum seekers with a high probability of staying. This ranges from a competency screening to values and German language instruction. If German courses are not passed, there should be penalties, such as co-payments. All asylum seekers and those entitled to subsidiary protection must sign an antisemitism declaration.

Headscarf Ban

A constitutionally compliant headscarf ban is to be developed for underage minor girls (up to the age of 14).

Before naturalization, a citizenship course must be completed in the future. Higher German language skills are required for this. For people in urgently needed professions, financial requirements should be lowered. Minor administrative offenses should also no longer be an obstacle.

Promotion for Nikolo

Another point: Austrian festival and holiday culture - such as Nikolo and the Harvest Festival - should be promoted in schools and kindergartens.

Extremism and Terrorism

Regarding the topics of extremism and terrorism, which have been highly present in public awareness since the attack in Villach and a suspected foiled attack at Vienna's Westbahnhof, the government agreement includes a commitment to fight against "political Islam." Further criminal provisions against religiously motivated extremism are planned. The monitoring of messenger services for counter-terrorism is also to be introduced.

Existing provisions in the Criminal Code (StGB) against "political Islam" are to be expanded and tightened, and new criminal provisions are being considered. The possibility of further freedom-restricting measures against so-called threats is to be "examined," according to the coalition agreement.

Tightening is also planned in administrative criminal law and accompanying administrative regulations. This is intended to address organizations classified as extremist. For "organizations that do not recognize the basic principles of our democratic state and the values derived from them," the Association Act is to be further tightened. The Documentation Center for Political Islam (DPI) is to be further developed.

Surveillance of Messenger Services "for the Purpose of Targeted Counter-Terrorism"

In principle, the upcoming government is eager to combat any form of extremism with enhanced "legal, systemic, and personnel measures." "For the purpose of targeted counter-terrorism," the surveillance of messenger services, recently demanded by the ÖVP and the Directorate for State Protection and Intelligence Service (DSN), is to be made possible, which is referred to in the government agreement as "constitutional threat surveillance."

Measures Package Against Online Radicalization

With a package of measures, the government aims to counteract online radicalization on platforms like TikTok, where especially young people, sometimes even children, quickly develop into Islamists by consuming videos from Salafist or jihadist influencers or preachers. Domestically, the dissemination of extremist, Islamist, and terrorist propaganda is to be criminalized, especially when it expresses rejection of the Austrian legal system. In this context, there is a push for increased regulation and control of digital platforms at the European level based on the Digital Services Act and the Digital Markets Act. Interim injunctions should allow for the suspension of accounts belonging to hate preachers. There should be a more consistent approach against disinformation and deepfakes, with increased responsibility for moderation and deletion obligations.

Action Plan Against Right-Wing Extremism

Regarding the "threat from the right," an annual report on right-wing extremism is to be published in the future. The government also plans to create and develop a National Action Plan against Right-Wing Extremism, following international examples. The anti-Semitism strategy, taking into account the special need for protection of the Jewish community, is to be revised and expanded.

"Certain Types of Knives" to be Banned "for Comprehensive Violence Prevention"

To counter extremist and terrorist threats, the upcoming government intends to focus more on deradicalization measures and extremism prevention. Regional prevention programs against extremism in schools and youth centers are to be expanded. A publicly accessible list of extremist organizations is planned. "For comprehensive violence prevention," the carrying of "certain types of knives" is to be banned, following recent incidents where attackers at home and abroad have increasingly used stabbing weapons to carry out their terrorist intentions.

Regarding further legal frameworks, the protection of classified information by the DSN is to be expanded through the introduction of a so-called official expert opinion. A cross-state data network between the police and state protection is intended to enable faster recognition and combating of threat situations. An amendment to the Security Police Act is to improve security checks of natural and legal persons.

Rent

The government program of ÖVP, SPÖ, and NEOS also provides relief for tenants. Accordingly, category rents, benchmark rents, and rents in non-profit housing will not be increased at all this year, with a maximum increase of one percent allowed next year and up to two percent in 2027. From 2028, a cap on rent increases of a maximum of three percent will apply to the "entire housing sector."

If inflation exceeds three percent, increases will then be curbed and only half will be passed on to tenants. Additionally, the minimum duration of fixed-term rental contracts is to be increased to five years. Currently, it is at least three years.

Location Surcharge Under Scrutiny

The so-called reference rent applies to old buildings (constructed before 1945) and rented after March 1, 1994. The rent cap decided by the ÖVP-Green government in 2023 limited the increase of category rents, reference rents, and rents in non-profit housing to five percent for 2025 and 2026. For this year, it would have been increased by the annual inflation rate of 2.9 percent for 2024 - the rent cap would not have applied.

According to the new program, the system of location surcharge will also be scrutinized to ensure "an easily understandable transparent approach to calculation." In response to a Supreme Court ruling, the reclaiming of rent payments due to legally ineffective value adjustment or main rent adjustment agreements will be limited to five years. Furthermore, in the future, the "energetic quality of buildings and apartments as well as measures taken or omitted for their improvement in the sense of a bonus-malus system" should be explicitly considered in the formation of the rent.

Pensions

In the pension sector, much remains unclear even after the presentation of the government program. What is certain is that a sustainability mode will be introduced by law. This stipulates that if the corresponding budget path cannot be maintained by 2030, countermeasures must be taken. The introduction of a partial pension is also clearly defined.

Regarding the countermeasures in the sustainability mode, an increase in the insurance years for the corridor pension from 2035 is mentioned. This would be accompanied by a mix of measures regarding the contribution rate, the account percentage, but also the age of onset and pension adjustment.

Access to Corridor Pension Later and More Difficult

Soon, access to the classic early retirement, namely the corridor pension, is likely to become somewhat more difficult. From 2026, the requirement will be increased from 40 to 42 insurance years over three years. The starting age will be raised from 62 to 63 over two years.

Regarding pension adjustment, there will be a pro-rata of 50 percent in the first year after retirement.

Partial Pension Replaces Partial Retirement

Partial retirement, in turn, will be absorbed into the partial pension. This new form of pension is expected to take effect as early as 2026. Care professions will be included in the heavy labor regulation.

The occupational pension pillar is to be opened to everyone. A general pension fund contract is planned. Improvements are also planned for pension funds. The Pension Security Commission will also discuss the second and third pillars in the future.

Labor Market

The black-red-pink coalition does not plan a major reform for the labor market, but has numerous individual measures planned. The additional income while receiving unemployment benefits will be handled more strictly. A restricted follow-up model for educational leave is planned from 2026. In the previous government, Labor Minister Martin Kocher (ÖVP) failed in his attempts to reform unemployment benefits and educational leave due to resistance from the Greens.

Unemployment Benefits Additional Income

Currently, unemployed individuals can earn up to the marginal earnings threshold of 551 euros gross per month without a reduction in unemployment benefits or emergency assistance. The future government plans to limit the duration of minor employment for long-term unemployed individuals to six months. Exceptions are planned for older long-term unemployed individuals.

Working in Retirement

For individuals in a genuine old-age pension (not early retirement), the government wants to develop a new model of additional income with social partners. The "Working in Old Age" model is to include, among other things, an exemption from social security contributions for employees, and the additional income of employees should only be taxed at a final rate of 25 percent. The measure is to come into effect on January 1, 2026.

Educational Leave

The existing model of educational leave will be abolished, and a "targeted follow-up regulation" is to be introduced from January 1, 2026, according to the government program. Considerations include employer participation and a "retention period." Currently, educational leave does not cost the employer any money, and the employer can terminate the employee during and after the training measure. Furthermore, it will no longer be possible to directly connect educational leave to parental leave. According to Wifo data from spring 2024, more than one in ten women went into educational leave after parental leave. Additionally, the new government plans stronger attendance obligations for recipients of training allowance during educational measures and an increase in the required ECTS credits (study performance). The possibility of educational leave has existed since 1998. Employees can take leave for training and education for two to twelve months. During the leave period, there is a training allowance equivalent to unemployment benefits. Educational leave, including social security contributions, cost the public sector around 640 million euros last year. The Court of Auditors and Wifo have advocated for a reform of educational leave in the past to increase the effectiveness of the training measure.

Short-Time Work, Employment Foundations, and Skilled Workers Initiative

In light of rising unemployment numbers since spring 2023 and the ongoing recession for two years, the future black-red-pink coalition has planned more AMS funds for short-time work, employment foundations, and a skilled workers initiative. An additional 230 million euros are planned for 2025, followed by 100 million euros in 2026, and from 2027 an additional 20 million euros under budget reservation.

Part-Time Work

To encourage more employees to return to full-time work, the future government wants to "rethink" the staggered unemployment insurance contributions. More opportunities for transitioning from part-time to full-time work are to be created. Specific measures for this are not included in the government program. Overall, the model of minor employment is to be "further developed."

Red-White-Red Card (RWR Card)

The "qualitative immigration" is to be increased through an amendment to the immigration law. Plans include acceleration, digitalization, and more flexibility with the Red-White-Red Card. The RWR Card is available for employees from outside the European Economic Area. Furthermore, the recognition of educational qualifications is to be simplified and standardized, and reliability and commitment are to be increased.

ORF Reform

The media chapter of the government program envisions a reform of the ORF with the involvement of the population. The broadcaster is to become leaner, more transparent, and more citizen-oriented. Additionally, the ORF fee will be frozen until 2029. A new regulation for the appointment of the ORF committees, which the Constitutional Court (VfGH) found to be too government-affiliated and therefore unconstitutional, is also to be implemented. Advertising expenses are to be reduced, and fake news combated.

ORF Committees to be Reformed

After the VfGH found in 2023 that the government had too much influence in the appointment of the ORF Foundation Council, its composition is now to be re-regulated. This must be done in a timely manner by the end of March. In the future, the federal government will send six instead of the previous nine foundation council members, following a public call for applications. The Chancellor has the right to propose three members, the Vice-Chancellor two, and NEOS one more. There will no longer be a possibility of reappointment after government changes. The Audience Council, in turn, will send nine instead of the current six people to the top ORF committee. The qualification requirements for foundation council members are to be redefined based on VfGH jurisprudence.

The Audience Council will be reduced from the current 30 to 28 people, with 14 members directly appointed by legally defined institutions (an additional member will be allocated to the umbrella organization of social insurance carriers) and another 14 representatively appointed by the federal government from existing areas and groups such as education, art, or sports. The representativeness criteria for selection are to be legally refined, and a balanced gender ratio is also aimed for.

ORF Fee Frozen Until 2029

Furthermore, a comprehensive reform of the ORF is planned, which is likely to bring additional savings measures. This concerns, for example, the ORF fee, which was already frozen at 15.30 euros per household until the end of 2026. The ORF originally calculated that the fee would be adjusted to inflation after the coming year. Since this is now not possible for at least three more years, the ORF will likely have to expect a medium, double-digit million amount less annually. ORF chief Roland Weißmann emphasized in mid-February that the ORF already has a savings package to work through and is saving 80 million euros this year and 104 million euros in 2026. He committed to a frugal ORF, "but at some point, a limit is reached," he said, warning of program cuts with further higher savings.

More Citizen Participation

The government ultimately envisions strengthening citizen participation, for example, in the form of annual surveys, audience formats, or more efficient complaint management. The public service mandate is also to be strengthened and further developed, for example, regarding the use of artificial intelligence. Overall, a "leaner ORF with the best quality" is planned. In this context, structures and processes are to be optimized, and the broadcaster's commercial activities further restricted. Stronger cooperation with private media is also a goal. The broadcaster's objectivity requirement is to be refined, and the necessity of social media guidelines legally anchored. The right of the state governors to be heard in the appointment of ORF regional directors is to be abolished.

However, the three pages of the media chapter did not mention the channels ORF III, ORF Sport+, and FM4 or the ORF Radio Symphony Orchestra (RSO), whose future has been repeatedly debated recently. The continuation of ORF Sport+ as a linear channel was once on the brink, and a switch to a purely digital channel was already announced. The sports channel, like the culture and information channel ORF III, must be operated "in accordance with economic viability" (linearly) according to the ORF law. The future of the RSO was recently unclear from 2027. Until then, ten million euros annually from the federal budget will be allocated to maintain the "world-class orchestra," as Weißmann called it. The ORF chief recently referred to economically difficult times but still wants to conduct "tough negotiations" in the interest of the RSO.

Government Plans to Save on Advertisements

The new government plans to save on advertisement allocation. They commit to a "frugal use of public funds" and will reduce the information budgets by ten percent. Additionally, the Media Cooperation and Funding Transparency Act, which requires quarterly publication of advertisement expenditures by public authorities, is to be evaluated in light of the European Media Freedom Act. The federal ministries are also required to list expenditures for information activities transparently in the detailed budget. In the first half of 2024, the media transparency data of the turquoise-green federal government showed advertising expenditures amounting to 18.7 million euros.

Subsidies in the media sector are to be "further developed in the sense of a unified funding strategy with a focus on quality journalism, accuracy, future viability, and media diversity." Existing funding criteria are to be expanded, for example, by including an editorial statute as a basic requirement, with the goal of creating a "resilient media location." Quality journalism is to be supported regardless of its form of publication. Nationwide newspaper delivery in the regions is also to be ensured. The earmarking of funds from the digital levy for media funding is to be examined.

Digital Platforms to be Held Accountable

The government is also placing special emphasis on digital platforms, which they want to hold more accountable for moderation and deletion obligations. To this end, they want to advocate at the EU level and examine national measures. Ultimately, this is also intended to combat disinformation, deep fakes, and content relevant to criminal law. There should be more transparency regarding algorithms and the use of user data. On the topic of AI, the new government wants to take a proactive approach and highlights the opportunities of new tools, as they are essential for a digital transformation in the media sector. The RTR service center is to function as a competence center and also offer training.

To counteract fake news, free access to digital offerings from local media is to be provided for students and apprentices, with a new platform based on the APA kiosk being considered. In parallel, media literacy is to be promoted, both in schools and in adult education.

Climate and Environmental Protection

The chapter "Climate and Environmental Protection" in the government program comprises nine pages, whereas it was over 50 in the black-green government. However, under the traffic light coalition, the environmental department - again without the energy and transport agendas - is to be merged with the Ministry of Agriculture. The goal of climate neutrality by 2040 is maintained, and a new "governance structure" is to enable this, but overall there are no major breakthroughs.

Climate protection is initially described in the preamble together with environmental protection as a "central concern." In terms of concrete projects, the environmental chapter mentions the "creation of a governance structure" to achieve climate goals, as well as a climate law "that creates the regulatory framework for measures, tools, and governance to achieve climate goals and climate neutrality, climate change adaptation, and the circular economy." The "Climate Protection Act with binding reduction paths until 2040 and binding interim targets until 2030" with sector targets, as provided for in the black-green government program, was not implemented.

Sectoral Greenhouse Gas Budgets, Binding Caps for Total Emissions

The specific sector targets mentioned in the previous government program have been removed from the Austrian National Energy and Climate Plan (NEKP) of August 2024, but they are found again in the new government program. It states that the new steering group will create a climate roadmap that "includes indicative reduction paths or greenhouse gas budgets for each sector, against which projections of emission developments are compared." However, binding commitments are only mentioned in relation to the annual caps for total emissions. As for the NEKP, it is to be revised by the new government.

Task Force for Climate Change Adaptation

In the subchapter "Climate Change Adaptation and Protection from Natural Hazards," the establishment of a corresponding task force with members from science and technology to advise the federal government is announced. The necessity is mentioned to "make public infrastructure more adaptable to global warming and extreme weather, especially."

On the topic of "Circular Economy," it is stated regarding the single-use deposit that "small businesses" should be exempt from the obligation to take back. There is a commitment that active soil protection makes an important contribution to the preservation of "green and open spaces," but a binding cap on land consumption is not yet found. However, the government commits to effectively reducing land consumption to 2.5 hectares per day. For this purpose, "planning and zoning competencies should be more strongly consolidated at the state level, and a clear target path should be developed by the end of 2026."

Transport

According to their program, the coalition also wants to further expand public transport and maintain and further develop an "affordable climate ticket." However, the construction of highways and expressways that already have approval is also announced. This should be "realized as quickly as possible" - which would likely put the construction of the controversial Lobau Tunnel back on the table, even though the government program explicitly only mentions the "e.g., S1 Spange."

Construction of Lobau Tunnel Possible

The measure is necessary for "stimulating the domestic economy and for the urgently needed relief of the population from through traffic." Pending procedures and planning should be continued swiftly. The then Minister of Climate Protection, Leonore Gewessler (Green Party), stopped the construction of the Vienna Lobau Tunnel at the end of 2021. The plans for a Lobau highway with its tunnel through a nature reserve were not pursued further afterward. According to the current government program, the construction of the Aspern Spange (S1 Spange), that is, the highway branch that would connect the Seestadt with the S1 following the city street, is to come.

Harsher Penalties for Speeders

In addition, a separate offense for participating in illegal street races, often demanded publicly, is to be introduced to take tougher action against "notorious speeders to protect the population."

The "dependence on cars, especially in rural areas," should also be reduced. A gradual decarbonization of public transport is aimed for. For this purpose, there should be an expansion of e-infrastructure along the high-level road network, especially at rest areas.

The government announces a commitment to climate goals and wants to support environmentally friendly initiatives - but with limitations. "In doing so, we ensure that economic, social, and regional aspects remain in harmony," it says. However, it is emphasized that the share of cycling should grow from the current seven to 14 percent. For this purpose, the construction of bike paths or bike highways is being advanced in a coordinated strategy by ÖBB and Asfinag. These climate-relevant "accompanying measures" should be planned from the outset in road and railway construction projects.

Strengthening of Bus Lines in Rural Areas

In rural areas, there should be a strengthening of interregional bus lines. The new connections of express bus lines should help in areas that are poorly connected to the public transport network (ÖV) across regions and federal states. In addition, good framework conditions are announced, allowing municipalities and federal states to quickly guarantee small-scale public transport connections. This is particularly an important addition in rural and tourist regions.

"They enable the population, guests, and employees to have a comfortable connection to transport hubs. In the further development of such measures, both innovative and social aspects are considered," the program states. Additionally, there is a promise to enhance cycling paths in rural areas and to consistently consider pedestrian and cycling paths in infrastructure planning.

Bicycle Regulation Under Review

To ensure an integrated mobility transition, the government announces plans to consolidate central traffic management. An infrastructure development program for strategic mobility solutions in the road and rail sectors is to be created. This should be oriented towards demand, economic effects, and CO2 reduction targets. Additionally, there is a promise of construction site coordination to ensure the "efficient maintenance of smooth traffic flows."

The bicycle regulation is also to be reviewed, specifically "in light of ongoing developments." This could involve a ban on e-mopeds on cycling paths and the legalization of bicycles with two child seats, which have been discussed for some time.

National Booking Platform in Focus

"The development of One Mobility is to be accelerated to enable nationwide cross-company and non-discriminatory sales solutions for public transport," the document states. One Mobility GmbH was established in 2021 as a 100% subsidiary of the federal government. It has already organized the sale of the Climate Ticket for the Ministry of Climate Protection. With the improvements, it should become easier for customers to book cross-border travel within the EU in the future.

Family and Children

The black-red-pink coalition aims to halve child poverty with a basic child security by 2030. This should include, for example, free healthy meals in educational institutions. In addition to this measure, the family chapter of the government program also includes an initiative in the field of early childhood education and the strengthening of fathers' participation in parental leave.

Basic Child Security Against Child Poverty

The basic child security is to be based on two pillars: The first focuses on the expansion of in-kind benefits and child-friendly social infrastructure - including free healthy meals in educational institutions and improved healthcare for children and adolescents. The second pillar involves the further development of existing transfer payments. Children are to be removed as an independent target group from social assistance and secured through a nationwide harmonized income-dependent benefit.

Early Childhood Education Initiative

Black-Red-Pink also plans a "Quality and Expansion Initiative" in the field of early childhood education. An additional resource package is to be available from 2026. This is linked to quality standards and phased plans for a gradual reduction in group sizes and a gradual implementation towards a guarantee of a full-day and year-round childcare place. Quality standards and phased plans are to be legally binding. The funds can be primarily directed by the states, the city, and the municipal associations into expansion, but also into ongoing financing, educational quality, and measures against the shortage of educational professionals.

Strengthening Father Participation

The currently low participation of fathers in parental leave is to be strengthened. To this end, the government plans to set up an interministerial working group and develop proposals with the involvement of stakeholders and social partners. There will also be information campaigns for fathers, and father participation will be brought more into focus in counseling. Income limits for childcare allowance will be regularly evaluated and adjusted. Children's rights are also to be strengthened - a model for monitoring the implementation of UN children's rights is to be examined.

Justice

In the field of justice, the introduction of a federal prosecutor's office as the head of the chain of command for public prosecutors stands out in the government program. It is to be established as a collegial body with a six-year term of office without the possibility of reappointment. However, it will not be appointed from within the judiciary as recently proposed by a reform group, but on the proposal of an expert commission by the parliament.

Federal Prosecutor's Office as a Collegial Body

Currently, the Minister of Justice is the highest professional supervisor of the public prosecutors. This was supposed to be changed under the previous government - however, the parties did not agree on the structure of a federal prosecutor's office or a general prosecutor's office. The Greens insisted on a collegial solution as a decision-making body and an appointment based on a nomination proposal from within the judiciary itself. The ÖVP, on the other hand, wanted a single person at the top, accountable to the parliament.

The three-party coalition now meets somewhere in between. The federal prosecutor's office will be established as a collegial body, and it will be appointed "on the proposal of an independent commission consisting of recognized personalities, for example from the judiciary, science, administration, and practice" by the parliament. The parliament is also to be involved in ongoing oversight.

No Lowering of the Age of Criminal Responsibility

Not found in the government program is a previously discussed lowering of the age of criminal responsibility from 14 years. Instead, to combat juvenile delinquency, the creation of specialized socio-educational residential communities for child and youth welfare is planned, for which there will be the "option of tightly limited forms of compulsory residence with review of freedom restrictions by guardianship judges." Furthermore, norm clarification discussions are to take place for non-criminally responsible juveniles. In these discussions, those affected are, for example, summoned to a police station to be instructed on lawful behavior. Mandatory case conferences are planned for underage repeat offenders.

Changes in Diversion and Divorce Law

There are also to be changes in diversion: On the one hand, the potential measures to avoid criminal proceedings are to be expanded - specifically mentioned are value courses or exit programs from right-wing extremism. On the other hand, a form of diversion is also to be made possible in administrative penal proceedings: The execution of substitute custodial sentences can be replaced by community service. The "tense prison situation" is also to be alleviated by expanding electronic monitoring, promoting the serving of sentences in the country of origin, or by increasing release execution (whereby prisoners shortly before release are already granted outings, note).

Otherwise, the plan is to implement many of the measures that have recently been left unfinished. These include, for example, a reform of divorce law including a maintenance regulation independent of the fault principle, the expansion of the espionage paragraph, a ban on unsolicited explicit images, and changes to the marriage age. Additionally, the consideration of the child's welfare in all asylum and immigration procedures and in basic care is to be legally anchored from the first day through guardianship.

Much Will Be Evaluated

Remarkably much remains very vague or is marked with "will be evaluated." For example, there is a plan for the "initiation of a fundamental reform process of the justice system around 20 years after the last major StPO reform with a focus on criminal law, criminal procedure law, and judicial organization." A not further specified reform of foundation law is also considered, or an "evaluation of criminal threats" in criminal law. The same applies to the crown witness regulation - here, in addition to the evaluation, at least a corresponding (not further specified) reform has been included in the program. So-called SLAPP lawsuits are to be pushed back.

Federal Army

The future black-red-pink coalition commits in its government program to continue implementing the Federal Army's development plan "consistently." For long-term security - until 2032 - the defense budget is to be increased to two percent of the gross domestic product. The National Defense Financing Act is to be amended for this purpose. The commitment to the European air defense shield Sky Shield will also be pursued further.

They want to make military service and the soldier profession more attractive. The proportion of women in the Federal Army is also to be further increased through various measures, and the militia is to be strengthened. "Clearly," black-red-pink commits to "neutrality in accordance with the constitution." At the same time, they will continue to advocate for multilateral engagement in the UN and the OSCE, "based on the principles of the UN Charter," as it is stated.

It was also established that a "fundamental decision" is required regarding the Eurofighter successor (the interceptors are to be phased out in 2035). The acquisition of the first successor aircraft is targeted for 2033. For airspace surveillance, a "powerful" successor for the retired Saab-105 training jets is to be procured. For air defense, medium and long-range missile systems are to be acquired for protection against missiles and drones.

Development Plan "Our Army 2032+" Continues

The development plan of the Federal Army, initiated under Defense Minister Klaudia Tanner (ÖVP), is to be continued. However, it is to be continuously evaluated. For long-term security, the budgetary target is to be raised to two percent of the gross domestic product with an amendment to the National Defense Financing Act. "Appropriate legislative steps" are also to be taken to enable better framework conditions for the defense and security industry. This particularly affects producers of key technologies, such as microchips, life sciences, cyber security, defense tech, or climate tech.

Airspace Security and Engagement with Sky Shield

Regarding airspace security, black-red-pink wants to "consistently" continue the commitment to the European air defense shield Sky Shield. For this purpose, medium and long-range missile systems are to be purchased. The acquisition of long-range air defense missile systems is also included in the development plan. A decision regarding the successors of the Eurofighter and the Saab-105 is also sought. Here, too, a "cooperative procurement, training, education, and maintenance with European partners" is to be examined. For critical personnel such as air traffic controllers, the implementation of special contracts is targeted.

Enhancing the Attractiveness of the Soldier Profession and Military Service

The black-red-pink coalition also wants to further enhance the attractiveness of the soldier profession as well as military service. In addition to increasing the pay, a military service commissioner is to be appointed. The eligibility criteria will be further evaluated and adjusted, and information campaigns expanded. There is also to be a personnel offensive, the service and salary law is to be amended, and the working environment of soldiers is to be made more attractive. Efforts to increase the proportion of women are to be continued, including strengthening the strategic equality and diversity office. To strengthen the militia, among other things, pension and salary disadvantages are to be eliminated, and insurance coverage improved.

Commitment to Neutrality and Engagement with the UN and OSCE

"Austria clearly commits to neutrality in accordance with the constitution and is committed to multilateral engagement with the UN and the OSCE," states the government program. Additionally, a strong common foreign, security, and defense policy of the EU is supported. For this purpose, Austria will continue to "actively" contribute to the further development of the CSDP. Collaborative procurements within the EU are to be increasingly utilized. In addition to solidarity in the deployment of units and individuals abroad, there will also be increased engagement in the area of bi- and multilateral military advice and support.

Gambling and Tobacco

In the area of gambling, more taxes are to be generated. This also applies to the tobacco sector. According to the program, gambling, whose supervision and licensing are to become independent, is expected to bring in an additional 50 million euros this year. The following year, it is expected to be 129 million euros, then 150 million in 2027, and around 200 million euros each in 2028 and 2029. In 2030, it concerns 220 million euros, and finally 240 million euros in 2031. E-cigarettes will be taxed like regular "cigarettes" in the future.

This year and in 2026, there will be an increase in the betting fee towards 5 percent as well as the administrative cost contribution. The gambling tax will rise to 10 percent. The monopoly in gambling is to be further developed and illegal gambling further reduced, also to minimize the number of gambling addicts. In this regard, the areas of player protection, supervision, regulation, licensing, as well as the fiscal and ownership interests of the Ministry of Finance, will be disentangled. The responsibility for supervision and licenses is to be transferred to an independent, instruction-free supervisory authority as an "operational gambling supervision." A judicial concession senate for licensing is to be established there.

More Player Protection

In the area of player protection, many measures are announced. This includes "the examination of the introduction of an operator-independent player card with various functionalities to ensure player protection, taking into account administrative effort and effectiveness."

Licenses for video lottery terminals are to expire, with no new tendering to occur. As with betting, duplications with the federal states are to end. "The betting fees will be adjusted to the European level, while maintaining the previous revenues of the local authorities."

Tobacco Monopoly is Renewed

The tobacco monopoly is being renewed, with talk of "sustainable taxation of tobacco and nicotine products." In 2026, it will be expanded to include novel, non-medical nicotine products, such as electronic cigarettes and so-called nicotine pouches. The introduction of a licensing system for e-cigarettes is being considered. Novel tobacco products are to become easier to approve. Currently, there is a tax loss compared to EU neighbors. There is to be an administrative simplification in the area of approval. People with disabilities are to continue to experience inclusion within the framework of the distribution monopoly, which will be expanded and secured.

E-Mobility and Climate Bonus

The government program on the topic of transport is very general, with many details still open. The climate bonus will be abolished, but from January 2026, there will be a "partial compensation" for commuters - how much this will be remains open. It is certain that the mileage allowance for cars and motorcycles will be reduced to 25 cents. Bitter for e-car owners: the motor-related insurance tax will be expanded. The economy will receive a NoVA exemption for small trucks.

The standard consumption tax for trucks under 3.5 tons - the so-called "Sprinter" class - was introduced under the ÖVP/Green government and has significantly increased the cost of purchasing small buses and pickups. Now the NoVA is being abolished, but not until July 1, 2025. In another point, the new government is accommodating a demand from the transport industry: There should be a "practical" regulation for "home drivers" with small trucks, concerning the permitted driving times.

Agricultural Diesel and Tax Benefits for Company Cars Remain

There is also good news for caravan owners, as the toll obligation is to be at least "evaluated." Those traveling with a fairground ride to an event should also be relieved of tolls. Improvements are expected for the top youth ticket for apprentices who commute across state borders.

The often criticized diesel privilege, meaning lower taxation on diesel compared to gasoline, is not mentioned in the government paper. The tax-favored agricultural diesel also remains untouched. And there is good news for company car users: The planned abolition of the imputed income for electric cars is off the table. If this significant tax advantage had been removed, it would have dealt a death blow to the registration numbers of electric cars, according to the automotive industry.

The government paper is not very specific about public transport. "Public transport will continue to be expanded and quality improvements will be implemented," it states. The future government is committed to public transport and to "reducing dependence on cars, especially in rural areas." There should be "additional" express bus lines in the regions. The climate ticket is to be maintained and "further developed."

For the ÖBB, the "continuous financing of the ÖBB framework plan" for the expansion and maintenance of the ÖBB infrastructure should be ensured. "The currently granted federal subsidies for rail freight transport should be continued," is emphasized in the transport chapter. The government paper also addresses cable cars. These are a "significant factor" for the economy, and "urban cable cars" are encouraged. These would strengthen mobility and regional value creation.

Mobility Plans to be Revised

The mobility master plans are to be revised once again. There is a commitment to climate goals, but these should remain "in harmony" with economic, social, and regional aspects. The energy tax for railways is to be abolished to make train travel and rail freight transport more attractive.

There is a rejection of the freight forwarders' desire for oversized trucks, known as gigaliners. The various regional truck driving bans should be maintained and more strictly controlled, and the circumvention of regulations for heavy trucks through the increased use of small trucks should be prevented. Overall, controls in heavy traffic should be intensified. The government remains very general regarding air traffic, with no mention of a kerosene tax.

Banks

The much-discussed bank levy will be increased under the new black-red-pink coalition. In 2025 and 2026, the levy is to be raised to 500 million euros. After that, it is to decrease to around 200 million euros, according to the government program published on Thursday. The government is also concerned with cash supply and is committed to strengthening the capital market. However, the program remains largely vague on details.

Bank Levy Rises to 500 Million Euros

The bank levy is intended to make a "fair contribution" to plugging the budget gap. There are no further details on the bank levy. In 2023, banks paid a little more than 150 million euros in the form of the "stability levy." For some time now, there have been calls from the union and the Chamber of Labor for a levy on credit institutions to partially skim off the high profits of banks due to increased interest income. Even the governor of the Austrian National Bank (OeNB), Robert Holzmann, has spoken out in favor of a bank levy. The banks themselves have always rejected the levy.

ATM Supply to be Expanded

The supply of cash and ATMs is to be expanded. The government is committed "to a nationwide cash supply" to close the remaining gaps. The implementation is to happen "together with the National Bank and with the involvement of the banks." Currently, 97 percent of the population already have an ATM within a 5-kilometer radius. Just yesterday, it was announced that the Austrian National Bank (OeNB) will set up up to 120 new ATMs for communities.

Commitment to the Capital Market

The capital market is also to be strengthened, but many concrete measures are not mentioned. "The task of the capital market is the efficient allocation of capital. It is important that all people have access to financial services and the capital market. Fair regulation, transparent rules, and strong independent financial supervision are therefore indispensable," the program states. Discussions are to be held with the Vienna Stock Exchange about facilitating IPOs for small and medium-sized enterprises (SMEs). There is also a rather vague commitment to a "Europe-wide deepening of capital markets," i.e., a capital market union.

The abolition of the capital gains tax (KESt) on securities - for example, with the simultaneous introduction of a holding period, as discussed in the previous black-green government - is not planned in the program. However, opportunities for young people to provide for themselves through securities, for example through ETF savings plans, are to be explored. Furthermore, an "enhancement of employee participation programs" is sought.

In addition, the government is committed to strengthening "comprehensive financial education" with regard to household budgeting, saving, insurance, and various investment instruments. There should be education on consumer protection and possibilities for preventing over-indebtedness across all population and age groups, which should be addressed "target group-specific," as stated in the government program.

General Pension Fund Contract Back in the Program

In the insurance sector, the government is once again stipulating the implementation of a general pension fund contract in occupational pension provision. Such a contract would include more employees in the second pillar of retirement provision. The last government also had this point in the program in 2020, but it was not implemented despite constant demands from the industry. Another long-standing request from the insurance industry is found in the program: The annual tax-free allowance for future security is to be increased "within the framework of budgetary possibilities." The allowance is currently 300 euros and has not been increased since the 1970s.

(APA/Red)

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