Hungarians support the family policy measures of the Economic Action Plan
The majority of Hungarians are aware of the family policy measures of the new Economic Action Plan and consider them significant, according to the latest representative survey of the Mária Kopp Institute for Demography and Families (KINCS). Respondents see measures related to housing as very important, but there is also strong social support for the consolidation of the 13th month pension and the doubling of the family tax allowance.
Hungarian families, young people and small and medium-sized enterprises (SMEs) are the focus of the government's new economic policy. The Economic Action Plan contains 21 measures based on three pillars: increasing purchasing power of incomes, providing affordable housing and the Sándor Demján Programme to double the size of businesses.
Three quarters of people have heard about the most important new measures, according to the results of a representative survey conducted by KINCS at the end of 2024. Most people heard of the Rural Home Renovation Programme (77%), the same number heard of the measure to make the 13th month pension permanent, while 76% and 73% of respondents had heard of the introduction of the workers' credit and the doubling of the family tax allowance in two stages. Two-thirds of Hungarians were also aware of the 5% interest rate loan for young people buying their first home, the housing subsidy provided by employers and the use of pension savings for housing. Six out of ten people knew about the increase in student accommodation places and the use of SZÉP (Széchenyi Recreation) cards for housing renovation, while more than half of respondents (55%) heard about the extension of the 5% VAT rate on new homes until the end of 2026. Awareness of the measures was highest among the groups concerned. The Rural Home Renovation Programme was known by 82% of people living in rural municipalities and 83% of those with children, the 13th month pension becoming permanent was known by 94% of those aged 65 and over, while the doubling of the workers' credit and family tax allowance were most known by married people (80%).
93% of Hungarians agreed that all possible means should be used to support the creation of decent housing conditions for people. Nine out of ten respondents said that more student accommodation was needed, while 87% of respondents said that having their own home was a prerequisite for starting a family. 86% of people said that a guaranteed 13th month pension would give older people more security. And 85 percent of respondents said it was important that young people in work should have the same opportunities as students.
Most measures were considered useful and necessary by three quarters of Hungarians. The 13th month pension (79%) and the creation of new student accommodation (78%) received the highest support. Doubling the family tax allowance was seen as useful by 75% of respondents, and 90% of those with large families.
Interestingly, the younger and older age groups were clearly in favour of measures aimed at the other generation: nine out of ten over-65s considered it useful to provide a 5% interest rate loan for young people buying their first home, and to create new student accommodation. And 70 per cent of 18-29 year olds said a permanent 13th month pension was useful.
The KINCS survey showed that there is broad support for the family policy measures in the new Economic Action Plan. The majority of Hungarians envisage starting a family in a home they own, and the new government measures could help to achieve this.
