Factsheet for measure
CZ-2022-36/2462
–
Updated
– measures in Czechia
Umbrella Against Inflation
Deštník proti drahotě
Background information
The government responded to the increase in prices during the year 2022 by launching this programme in October 2022. The programme included a one-time child benefit intended to help parents cope with soaring inflation, rising food prices, energy, fuel, and school or childcare expenses
It also included an allowance for energy and waived taxes for renewable energies is a subsidy from the state budget for energy suppliers. Already existing benefits such as housing allowance, housing supplement, and allowance in material needs have also become part of the program.
Content of measure
Based on the state's contribution to the given household, the energy supplier reduced the electricity, gas, and heat prices. The subsidy was reflected for the first time in payments for October 2022. At the same time, the waiver of the fee for renewable sources was applied, which is part of the price of electricity and amounts to CZK 495 (€20) for each megawatt hour of electricity. From 1 January 2023, the contribution will no longer apply. It was replaced by a cap on energy prices valid throughout 2023.
The allowance was provided to parents with parents under the age of 18 and whose gross annual income does not exceed CZK 1,000,000.
For October to December 2022, households received the energy allowance in the amount of CZK 2,000 to 3,500, depending on the type of electricity price distribution rate. Every household that was a consumer of gas, electricity, or heat was entitled to the subsidy.
The assignment of mentioned benefits, particularly housing allowance, takes into account the applicant's income situation and the housing and energy costs.
Updates
The following updates to this measure have been made after it came into effect.
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01 January 2023
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The Umbrella Against Inflation package of measures was effectively terminated on 31 December 2022. The benefit provided to families with children was a one-time benefit. The measures dampening the amount of energy charges were replaced by the
Cap of electricity and gas prices
from 1 January 2023. Furthermore, benefits such as housing allowance and housing supplement are long-standing regular benefits of the state social security network.
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Use of measure
The one-time child allowance was sent on 31 December 2022. It spent provided€280,875,000 to 1,348,198 children.
As of 31 December 2022, €725,000,000 was spent on the energy allowance.
For the housing allowance and the housing supplement for August to December 2022, €87,023,000 and €33,574,000 were spent.
Target groups
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Workers
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Businesses
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Citizens
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Does not apply to workers
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Does not apply to businesses
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Applies to all citizens
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Actors and funding
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Actors
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Funding
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National government
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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No involvement
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No involvement
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Form
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Not applicable
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Not applicable
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Social partners' role in the
implementation, monitoring and assessment phase:
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No involvement
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Main level of involvement: N/A
Involvement
No involvement.
Views and reactions
Unknown
Sources
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22 February 2023: Pomoc MPSV: sociální dávky v číslech
(www.mpsv.cz)
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22 February 2023: Plnění státního rozpočtu ČR za prosinec 2022
(www.mfcr.cz)
