Alternative sources of funding have been pursued in
order to ensure the financing of the social security system, while
transferring levies on earned income to other tax sources. An amount is
levied on revenue from the withholding tax on income from movable property,
from VAT, from excise duties on tobacco and from the packaging levy to go
towards funding social security. In 2007, the social security budget also
benefited from the positive effect of the cuts in employers' social security
contributions on economic activity.
The policy of a strict control over spending has made
it possible to keep the increase in health care expenditure in 2005 and in
2006 within the real growth target of 4.5%. According to the estimates
available in March 2008, health care expenditure in 2007 should stay within
this margin.
In line with the coalition agreement, the health care
budget for 2008 adheres to the 4.5% growth target. Funds have been released,
within this target, for priority matters, such as the improvement of patient
protection (with the adoption of a multiannual plan for combating cancer,
for instance) or the continued upgrading of the role of general
practitioners. Moreover, a financial reserve of 580 million euro is being
built up so as to guarantee the future of the health care system(1).
(1) 73.7 million euro
will nevertheless be allocated for a hospital backlog.
