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Government Extends Profit Margin Freeze to Household Goods

Hungary Today 2025.05.08.

Gergely Gulyás, the Minister heading the Prime Minister’s Office, and Eszter Vitályos, Government Spokeswoman, held a Government Info press briefing on Thursday. They touched upon Ukraine’s accession to the European Union, extending the profit margin freeze, as well as domestic political disputes.

Ukraine’s EU Accession

The European Commission wants to make Central Europe, and Hungary and Slovakia in particular, pay the price for Ukraine’s accelerated accession to the EU, the Minister stated. According to Gergely Gulyás, the ban on Russian gas and oil imports would cause electricity and gas prices to double or increase by two and a half times for Hungarians.

Mr. Gulyás pointed out that in the government’s assessment, extremely negative developments are taking place in the European Union, especially in Brussels: the European People’s Party has decided to support Ukraine’s fast-track accession to the EU. He added that the European Commission would continue arms deliveries to Ukraine alongside accelerated accession and recommend ending imports of Russian gas and crude oil.

He emphasized that

if we had to purchase gas and oil from elsewhere, it would cost one and a half to two billion euros more than what Hungary currently pays.

Gulyás stressed that Hungary will do everything in its power to oppose the Brussels plans so that the Hungarian people do not have to pay the price for Ukraine’s accession, and that this is another opportunity for everyone to express their opinion on Ukraine’s accession to the EU in the “Voks 2025” referendum.

He also spoke about the fact that numerous EU Member States do not support von der Leyen’s latest proposal on Ukraine, meaning that there are allies with whom a blocking minority could be formed.

With regard to the Hungarian minority in Transcarpathia (western Ukraine), the Minister emphasized that respect for minority rights is a red line, and the situation has not been light in the past, but Ukraine has not even restored the minimum level. “Our problem with Ukraine’s accession to the EU is that if there is a merit-based accession process, Ukraine will not be a member of the EU until the middle of the next decade.

However, the Commission President wants to open all negotiations this year, while other countries have been waiting for decades,”

he pointed out.

In response to Manfred Weber’s statement that 26 countries stand against one in the debate on Ukraine, the Minister underlined that unanimity is required under the EU treaty.

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Péter Szijjártó Prioritizes Georgia’s EU Integration ahead of Ukraine’s

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Profit Margin Freeze

Minister Gulyás announced that at its cabinet meeting on Wednesday, the government concluded that the profit margin regulation imposed on food products had proven effective, and therefore it would be extended to household goods. As a result, a maximum price margin of 15 percent will be set for more than a thousand products in 30 categories. Among the items concerned are toilet paper, toothpaste, shampoo, soap, and deodorant.

The margin freeze will remain in effect until August or for 90 days, and may be extended.

2026 Budget

Gulyás said that the government had submitted its draft budget for 2026, emphasizing that

the budget allocates HUF 4,800 billion (EUR 11.8 billion) for family policy objectives and more than HUF 800 billion (EUR 1.97 billion) for utility bill cuts.

He stressed that they are implementing Europe’s largest tax reduction program. This means that HUF 320 billion (EUR 788.3 million) will be spent on income tax exemptions for mothers with two or three children, and HUF 290 billion (EUR 714.4 million) on family tax benefits that will be doubled in two stages starting January 1, 2026.

The largest item in the budget remains pension expenditure, including the pension premium planned for next year, the 13th month pension, and the pension increase. In addition to the funds needed for the minimum wage increase, the six-month weaponry benefit and the increase in the business tax, HUF 5,500 billion (EUR 13.5 billion) will be available for economic development, the Minister explained.

Tisza Party Recording of Defense Minister

On Thursday morning, Tisza party leader Péter Magyar published an audio recording featuring the Defense Minister. In the recording, Kristóf Szalay-Bobrovniczky talks about the government breaking with their current peace efforts and creating a powerful army. “We all feel that this is a bluff. Nothing has happened. The Defense Minister talked about how soldiers must defend the country, that is self-evident and right in the face of a threat of war,” Gulyás stated to a question on the matter.

Romanian Presidential Election

The Minister also touched on the Romanian presidential election, stating that future cooperation with any president elected will be based on the principle that the rights of ethnic minorities in Romania will not be restricted.

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Via MTI, Magyar Nemzet; Featured photo via MTI/Máthé Zoltán


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