The Austrian National Council has commenced its final detailed deliberations on the federal double budget for 2027 and 2028, alongside the medium-term financial framework. The process began with a focus on the Federal Chancellery and the Supreme Institutions, as legislators prepare to scrutinize individual budget segments over three days.

Budget Overview and Deficit Projections

The 2027 federal budget projects revenues of EUR112.7 billion and expenditures of EUR128.2 billion, resulting in an expected federal deficit of 2.7%. Across all public entities, the deficit is estimated to reach 3.5%. For 2028, the budget foresees revenues of EUR115.8 billion against expenditures of EUR129 billion. The deficit is projected at 2.3%, aligning with the Maastricht Treaty's 3% threshold.

Federal Chancellery: Priorities in Digitalization and Integration

The Federal Chancellery's budget allocates significant resources to integration, digitalization, and support for ethnic minorities. Planned expenditures for these areas stand at EUR652.6 million for 2027 and EUR660.5 million for 2028, marking a 19% increase due to higher operational costs and investment needs. Digitalization and IT infrastructure form key investment areas, while integration programs, including language courses, are secured with dedicated funding.

In the area of integration, the responsible ministry has emphasized targeted cost reductions where efficiency gains are possible, while prioritizing funding for essential services. The integration budget will see a modest decrease, but core programs and mandatory integration courses will remain financially supported. Family benefits within basic welfare provisions are to be restructured, with eligibility linked to employment, aimed at incentivizing workforce participation and generating savings.

Personnel and Public Service Considerations

The public sector, employing approximately 365,000 individuals, is facing a wave of retirements in coming years. Lawmakers have stressed the importance of knowledge transfer and maintaining service quality amidst these changes. There is a plan to avoid layoffs by not replacing a portion of retiring staff. Some government members have called for fair working conditions, adequate compensation, and relief measures for public employees, while others have discussed the impact of savings measures such as unfilled positions and increased employee contributions.

Support for Ethnic Minorities and Digital Independence

Budget allocations for cultural and language programs for ethnic minorities are maintained at current levels, intended to preserve traditions and support community organizations. However, concerns have been raised about the lack of funding increases despite rising costs, which may affect some organizations' staffing. Digitalization efforts are being expanded, but there are calls for stronger initiatives to achieve digital autonomy and for the establishment of a dedicated authority for artificial intelligence oversight.

Parliament and Supreme Institutions Budgets

The Parliament's own budget will decrease by 2.3% from 2026 to 2027, falling to EUR276 million in 2027 and EUR278 million in 2028. Planned staff reductions will continue through 2031. Legislators have noted the importance of maintaining sufficient resources for legislative research and budgetary analysis, especially as democratic institutions face increasing scrutiny. The National Fund's budget has been secured, reflecting its ongoing role.

The budgets for Austria's Supreme Courts remain stable, with modest increases to support their constitutional responsibilities. The Constitutional Court's allocation rises slightly to EUR21.2 million in 2027 and EUR21.4 million in 2028, while the Administrative Court also receives incremental increases.

Oversight Bodies: Court of Audit and Ombudsman Institution

The Court of Audit is allocated EUR48.9 million in 2027 and EUR48.85 million in 2028. Personnel costs are set to decline through non-replacement of five positions. The office aims to address its mandate with greater innovation and digital tools, including expanded use of artificial intelligence to maintain audit quality. Efforts are underway to provide improved data for income reporting and to streamline audit processes.

For the Ombudsman Institution, expenditures are projected to rise from EUR16.1 million in 2025 to EUR16.8 million by 2028, with staffing levels stable from 2027 onward. The institution continues its role as an advocate for human rights and will take on new oversight responsibilities under the European asylum framework. Calls for increased funding have been made to match the expanding range of tasks.

Throughout the discussions, emphasis has been placed on the importance of efficient spending, innovation in public administration, and maintaining strong, independent institutions to ensure effective governance and public trust. Parliamentary sessions and related resources, including budget data and analyses, remain accessible to the public via official channels.