Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure CZ-2022-36/3113 – Updated – measures in Czechia
Country | Czechia , applies nationwide |
Time period | Temporary, 01 September 2022 – 31 December 2022 |
Context | War in Ukraine |
Type | Other initiatives or policies |
Category |
Responses to inflation
– Increasing income in general |
Author | Soňa Veverková (Research Institute for Labour and Social Affairs) and Eurofound |
Measure added | 22 February 2023 (updated 25 July 2023) |
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.
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.
The following updates to this measure have been made after it came into effect.
01 January 2023 |
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. |
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.
Workers | Businesses | Citizens |
---|---|---|
Applies to all workers | Does not apply to businesses | Applies to all citizens |
Actors | Funding |
---|---|
National government
|
National funds
|
Social partners' role in designing the measure and form of involvement:
Trade unions | Employers' organisations | |
---|---|---|
Role | No involvement | No involvement |
Form | Not applicable | Not applicable |
Social partners' role in the implementation, monitoring and assessment phase:
No involvement.
Unknown
Citation
Eurofound (2023), Umbrella Against Inflation, measure CZ-2022-36/3113 (measures in Czechia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/CZ-2022-36_3113.html
Share
30 January 2023
Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.
Article12 September 2022
Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.
Article12 September 2022
This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.
Article5 July 2022
This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.
ArticleDisclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.