News

An increase in gas prices this year is inevitable, especially in the second half of the year. The rise is therefore likely to be quickly reflected in new supplier tariffs. This follows from an analysis by the consulting company EGU. The expected price increase will be a result of the ongoing conflict in the Persian Gulf, with the analysis anticipating a significant disruption to gas supplies from Qatar.

According to EGU’s project director Michal Kocůrek, price developments will depend primarily on how quickly new export capacities are increased, as well as on the response of individual regional markets. Asia may play a key role in this regard, as some countries could reduce their demand for gas, for example by increasing the use of alternative fuels and energy sources in electricity generation.

Prime Minister Andrej Babiš admitted that next year’s state budget will have a higher deficit than this year. He justified this by the need for investment. The first budget proposed and approved by Babiš’s coalition government counts on a deficit of 310 billion crowns. It was signed last week by President Petr Pavel and came into effect on Saturday, ending the period of provisional budgeting. According to Babiš, the size of the deficit will be determined by the investments the Czech Republic needs. “We must invest in healthcare, that is the top priority, in mental health, we must continue with transport infrastructure. We must of course invest in security. We will see how it all turns out,” he said. Although it is only March, the government must already begin discussing next year’s budget, he added.

Czech Radio has protested against a plan by the ruling coalition to exempt selected groups from the obligation to pay licence fees, warning that introducing the measure in mid-2026 as planned would have severe economic consequences for public service media.

Czech Television also cautioned that the proposed changes could undermine an existing memorandum on the provision of public service, which is tied to current legislation and valid until 2030.

SPD leader and Chamber of Deputies Speaker Tomio Okamura said on Monday, following a coalition council meeting, that the coalition intends to submit a bill to the lower house which would exempt seniors over 75, companies, dependent young people under 26, and people with disabilities from the obligation to pay broadcasting fees. As a result, revenue from licence fees would revert to 2024 levels.

The proposal is described as the first step toward the complete abolition of licence fees, a goal outlined in the government’s policy program.

The Czech cabinet on Monday approved a memorandum on enhanced cooperation between the governments of the Czech Republic and Slovakia, Deputy Prime Minister Karel Havlíček (ANO) told reporters. He confirmed that the two governments will hold a joint session next Tuesday. The meeting will take place at Nová Horka chateau in the Nový Jičín region, marking a return to intergovernmental consultations after a longer pause.

The consultations had been suspended by the previous government of Petr Fiala (Civic Democrats) due to differing views on certain foreign policy issues.