Italy approves 2027 budget with newborn savings fund, energy cost relief

Newswire

Rome: Italian Prime Minister Giorgia Meloni’s Cabinet this week approved the country’s 2027 budget bill, introducing a savings contribution for newborns and measures aimed at lowering electricity and gas costs for households and businesses.

Under the proposed newborn savings scheme, the state will contribute €100 ($116) annually for every child born from 2027, with payments continuing until the child turns 18. The contributions will be deposited into a pension savings fund, according to government sources cited by Italian news agency ANSA.

The initiative was proposed by Economy Minister Giancarlo Giorgetti as part of the government’s efforts to support families and encourage long-term savings for children.

Alongside the newborn fund, the Cabinet approved a decree designed to ease energy costs for households and businesses. The measure introduces a price cap of €58.90 ($68.50) per megawatt-hour, with an application period of between 12 and 18 months.

The package also includes proposals to reform the craft sector and reorganise regulations governing outdoor seating areas, reflecting the government’s broader economic and regulatory agenda.

The budget forms part of a planned €23.5 billion package of measures for 2027, outlined in the draft budgetary plan previously submitted to the European Commission and the Italian parliament.

The proposals combine family support, energy cost relief and sectoral reforms as the Meloni government seeks to address household expenses and support economic activity. The measures will now proceed through the relevant budgetary and legislative processes.