The Czech government plans to raise all old-age, disability, and survivor pensions by 300 crowns per month starting in January, under a draft regulation that would lift the average old-age pension to 22,192 crowns, a 1.4 percent increase.
The solidarity component of pensions would rise from 4,900 to 5,200 crowns, while the earnings-related portion remains unchanged. The minimum old-age pension would climb to 10,400 crowns. The cabinet also may consider an extraordinary 600-crown top-up, with a final decision expected after a consultation period. The government has legal room to raise pensions by up to 2.7 percent, which could add as much as 590 crowns to the average payment at an additional cost of 7.75 billion crowns.
Pension spending is budgeted at roughly 740 billion crowns next year, up from 722.2 billion this year. The regulation must be approved by the end of September, ahead of municipal and Senate elections in early October.