Vox has tabled an amendment to the PP’s fiscal package aimed at increasing the so-called “baby cheque”, in a move both parties say is designed to encourage larger families amid declining birth rates. Under the proposal, parents would receive €900 for their first child, rising incrementally to €1,200 for the second, €1,500 for the third and €1,800 for the fourth and subsequent children. The same payments would apply in cases of adoption. Sources within the PP confirmed their backing for the measure, which is expected to pass in committee on Tuesday.
The revised payments form part of a broader tax reform advanced by the regional government since the beginning of the legislature and already approved by parliament. The previous scheme granted deductions of €800 for a first child, €1,000 for a second, €1,200 for a third and €1,400 for larger families. The latest amendment significantly widens the gap in support for households with three or more children, reflecting what supporters describe as an effort to address the rising cost of family life.
During the first year in which the policy was applied — corresponding to the 2023 income tax campaign — 5,517 parents claimed the deduction. The average benefit amounted to €507 per claimant, according to official figures. Advocates of the scheme argue that the increased allowances will provide greater relief for middle- and lower-income households, although critics have questioned whether tax deductions alone can reverse demographic decline.
The measures come alongside a wider package of housing-related tax cuts announced by the PP administration. These include reductions in notarial fees and the abolition of the tax on Documented Legal Acts (AJD) for under-30s and people with disabilities purchasing their first home. Buyers under the age of 36, large families and single-parent households would also see the AJD rate reduced to 0.5%.
Further incentives are aimed at the rental market and subsidised housing. A 50% reduction in Property Transfer Tax and AJD would apply to purchases of regulated-price homes, while an existing deduction of up to €800 per property — capped at €2,000 — will remain in place for landlords who refrain from increasing rents above inflation when renewing contracts this year. The measure had previously been announced by the vice-president, Antoni Costa.