Saeima cuts funding for parties with dissolved parliamentary groups

(25.02.2022.)

On Thursday, February 24, the Saeima in the final reading adopted amendments to the Law on Financing of Political Organisations (Parties), which provide for the reduction of state budget funding for those parties whose parliamentary groups in the Saeima have dissolved.

It is envisaged that the reduction of funding from the State budget will apply to those parties whose parliamentary group in the Saeima has terminated its activities or more than two thirds of the MPs have left the parliamentary group. According to the explanatory note to the draft law, there is no justification for the further allocation of the relevant state funding to a political party if it is no longer able to adequately implement the policy on behalf of the voters from the previous parliamentary elections.

A parliamentary group consists of not less than five MPs elected to the Saeima from the list of candidates of the same name.

According to the amendments, the parties of the dissolved parliamentary groups of the Saeima will no longer be paid the amount specified in the law for each vote obtained in the most recent Saeima elections, but will maintain funding allocated for entering the Saeima.

It is planned that the Corruption Prevention and Combating Bureau will decide on the reduction of the funding after receiving relevant information from the Saeima.

The changes have been initiated in order to promote the sustainability and parliamentary efficiency of political parties, allowing the receipt of the respective part of the state budget funding only for those parties whose parliamentary group has not broken down after the Saeima elections and continues its activities, the explanatory note says.

At the same time, the Saeima decided to link the financing of the parties from the state budget to the minimum wage. It is laid down that the party, for which more than two per cent of the voters have voted in the most recent Saeima elections, shall be granted state budget financing in the amount of 0.9 per cent of the minimum monthly salary determined by the Cabinet for each of the votes obtained in the relevant parliamentary elections. Currently, such a party is funded by the state budget in the amount of EUR 4.50 for each vote obtained in the most recent parliamentary elections.

The Saeima has also determined that the party, for which more than two per cent of the voters have voted in the most recent Saeima elections, shall be granted state funding in the amount of 0.1 per cent of the minimum monthly salary for each vote in local government elections and also in the European Parliament elections. Currently, for each vote in municipal and European Parliament elections, the party receives funding of EUR 0.50.

In addition to funding for each vote, the party, which has overcome the five per cent barrier in the elections of the Saeima, will be granted state budget financing in the amount of 200 minimum monthly salaries per calendar year. The total funding allocated to a party may not exceed 1600 minimum wages. So far, it has been stipulated that a party will be granted EUR 100 000 for entering the Parliament and the total funding should not exceed EUR 800 000.

It is planned that the changes will enter into force upon the convening of the 14th Saeima.

 

Saeima Press Service

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