Indeed, the Social Democrats are the brakes on the crazy cuts that the right, both large and small, could see in the name of improving the budget, writes Andre Hanimägi (SDE) in response to Andres Kaarmann, who craves a socialist-free government.

Andres Kaarmann, a representative of the right, essentially complimented the Social Democratic Party when he said that the Socialists must be evicted from the government, because then it will finally happen. In other words, major cuts could then be made and finances could be put in order quickly... like 15 years ago! We know that public finances are in a bad state. However, we still do not know what the specific cuts would be, from which to save at least a billion euros. What, how much and from whom do you want to take? It is quite clear that the hands of cuts would, above all, sneak into the pockets of the weakest in society, and this is not what the Social Democrats consider sensible in any way. Where to cut a billion? In Estonia, political parties essentially have three schools. The opposition, above all, is driving the critic's tactics – to raise spending. The logic of this is simple: siuna proposed tax increases and make proposals that would actually increase state budget spending. There is no one to argue with, because they actually understand that populism is being dealt with, and this is only suitable for rating building, not responsible governance. There is a substantive contradiction between the second and third courses of solution, i.e. cuts versus tax increases. No one likes tax increases, and it must be admitted that society's pain threshold is being crossed. So talking about cuts may seem like eating fresh air. Especially when talking about various marketing stupidities or seemingly unnecessary activities and occupations, with which our public sector stands out again and again. Who feels that there are too many rescue commandos and policemen on the streets? What are the cuts that society would accept and that would not hit the weakest in society in particular? But if you delve a little into the matter, you can see a clear pattern – those who talk about cuts always remain very general about what they say. Kaarmann also offers reflections that cuts need to be made as in 2009 and the economy needs to be made to grow, but he neglects to talk about what really needs to be done. Throwing the Social Democrats out of government alone will not save a billion. Right-wing leader Lavly Perling has given a small hint that the first place to cut could be a freeze on pensions. This is in the background of price increases and the knowledge that relative poverty is the face of an Estonian pensioner. The cancellation of next year's indexed pension increase, when the average old-age pension should increase to 50 euros or 826 euros, could lead to savings of ca 150 million euros. A painful decision and there would still be a lack of about 850 million euros. At the same time, it should be noted that it is also a painful decision – the freezing of the income tax exemption for pensions at this year's level has already been made. However, there is already a shortage of about 150 million euros in health care for next year. Who raises their hand and says that even more money could be saved from there and waiting lists could be extended? Who feels that there are too many rescue commandos and policemen on the streets? What are the cuts that society would accept and that would not hit the weakest in society in particular? A broad-based solution is needed The Fiscal Council has recently said that improving the fiscal position requires the government to make informed revenue and expenditure policy decisions, not just a return to economic growth and the accompanying improved tax receipts. Of course, costs need to be looked at with a critical eye. This must be done constantly. However, there is no point in talking about how we can improve the budget with just cost savings. On the revenue side, it is necessary to do what has already been agreed in the budget strategy and discuss which sources of revenue the state could still find with as little pain as possible. There are not many of these places, but all this needs to be talked about. The Social Democrats, for example, have talked about introducing a security tax. The Social Democrats also support a graduated income tax. Various international organisations and analysts have also recommended the introduction of property taxes for Estonia. This, of course, would not be what the Right would want, as would a graduated income tax or anything else that would distribute the tax burden more fairly. However, the task of politicians, regardless of worldview, is to see a holistic picture and find balance in society. Cutting pensions, access to health care, internal security, further reducing the livelihoods of low-income people would simply be an impossible and stupid move. ANDRE HANIMÄGI ⟩ How to get a billion euros? Lavly Perling hints at freezing pensions The post ANDRE HANIMÄGI: How to get a billion euros? Lavly Perling hinted at freezing pensions appeared first on Social Democrats.