Poland’s parliament will debate the government’s draft budget for 2027 on Thursday, with proposals showing total expenditure approaching one trillion zloty and a deficit exceeding 281 billion zloty, according to Bankier.pl.
The budget assumes real GDP growth of three per cent and average annual inflation of 2.8 per cent. State revenue is projected at 696.4 billion zloty, whilst spending is set to reach 977.6 billion zloty, leaving a deficit capped at 281.2 billion zloty.
Corporate income tax (CIT) is expected to generate 94.6 billion zloty in revenue, VAT receipts are forecast at 363.7 billion zloty, and personal income tax (PIT) should bring in 33.4 billion zloty. Local government income from PIT sharing will increase from 193.8 billion zloty in 2026 to 206.7 billion zloty next year, a rise of 6.6 per cent.
Defence and healthcare dominate spending priorities
The Office of the Prime Minister confirmed that the budget focuses on three core areas: security, health and economic development. National defence will receive 198.1 billion zloty – equivalent to around £45 billion – representing 4.51 per cent of GDP. A significant portion of military equipment purchases under the SAFE programme will be exempt from VAT, allowing more hardware to be acquired with available funds.
Healthcare spending will total 274.1 billion zloty in 2027, an increase of 26.3 billion zloty compared to this year. The allocation includes a subsidy for the National Health Fund (NFZ) of 41.5 billion zloty, 15.5 billion zloty more than in 2026.
Public security services including the police, border guards, fire brigade, state protection service and intelligence agencies will share 36.5 billion zloty. Together with pension and retirement provision for officers and their families, total spending in this area reaches 57.7 billion zloty.
Infrastructure, energy and social support
The draft budget earmarks 46.2 billion zloty for science and higher education, whilst roads and railways will receive 76.8 billion zloty. The maritime sector is allocated 3.7 billion zloty.
Eight billion zloty is set aside for capital investment in Poland’s first nuclear power station project. A further 2.8 billion zloty will go to the Strategic Fuel Reserve Fund to ensure fuel security and stable operation of the domestic fuel market. Support for energy-intensive industries is budgeted at 3.6 billion zloty, and housing programmes will receive 5.8 billion zloty.
Family benefit programmes remain a major spending category. The 800+ child benefit scheme will cost 60.8 billion zloty, whilst the Active Parent programme – often called “babciowe” – is allocated seven billion zloty. The thirteenth and fourteenth pension payments will require 32.1 billion zloty, and the support benefit for people with disabilities is funded at 12.6 billion zloty.
Public sector employees and teachers are in line for a three per cent pay rise, costing approximately 7.8 billion zloty including associated contributions.
What this means for Poles in the UK
For Poles living abroad who maintain ties to Poland – whether through property ownership, family members receiving benefits, or plans to return – the 2027 budget signals continued high public spending but also mounting fiscal pressure. The deficit of 281 billion zloty represents nearly 29 per cent of total expenditure, raising questions about long-term sustainability.
Those with elderly relatives in Poland can expect the thirteenth and fourteenth pension payments to continue, funded at 32.1 billion zloty. Families with children in Poland will still receive the 800+ benefit, budgeted at 60.8 billion zloty. However, public sector wage increases are modest at just three per cent, below the projected 2.8 per cent inflation rate, meaning real-terms pay cuts for state employees including teachers and healthcare workers.
The budget must pass through several readings in the Sejm, with the second reading scheduled for 2 December and the third on 4 December. The Senate will examine the bill on 8 December, and any amendments return to the Sejm on 15 January. The president is expected to receive the legislation after mid-January and has seven days to sign it into law.
