Phase-Out

From the 2026 budget audit

Which charities get state money — and who decides?

2.7 billion forints directed to specified charitable organisations for housing and social work — the selection made by political officeholders, not by a need-linked formula.

About 675 Ft per taxpayer per year — 2.7 billion Ft total — allocated to charities chosen by state officials rather than earned through a need-linked channel.

3 bn HUF allocation 600 HUF / taxpayer / year 1 bn HUF Year-1 saving

What you see — and what you don't

The seen: designated charities with a guaranteed state income line. The unseen: the charities not selected, and every taxpayer funding transfers to organisations chosen by political preference rather than demonstrated social need.

Objection

"But these charities do real work helping people with housing — cutting this harms the vulnerable."

Answer

The renewal programme does not cut housing support — it routes it through the per-capita non-state social-services grant, which is need-linked and available to any qualifying provider. Naming specific charities in a budget line is a political allocation, not a social-need allocation; the phase-out over three years protects the organisations while they transition to the need-linked channel.

Share if you think social-care funding should follow the person in need, not the organisation in favour.

The analyst's verdict

Housing-creation social activity of certain charitable organisations

Rationale

This line directs public money to *specified* charitable organisations for housing and social-service activity. The objection is not to charitable social work — charity is voluntary society at its best — but to the mechanism: a budget line that funds *certain* named or designated charitable organisations is a subjective allocation by political officeholders deciding which charities receive taxpayer money. A charity funded by the state is no longer purely a voluntary association; it acquires a professional dependence on the line and a structural interest in its preservation. Where the underlying social need is real, it is funded through the per-capita non-state social-services grant above, which is need-linked and not organisation-designated.

Transition mechanism

A three-year phase-out protects organisations that have planned around the funding — declining 900 millió Ft per year — and gives them time to rebuild a voluntary donor base or qualify under the need-linked per-capita channel.

Affected groups

The named and designated charitable organisations currently receiving this grant, who must rebuild a voluntary funding base or redirect activity to the need-linked per-capita channel; beneficiaries of housing and social-service activity, whose needs continue to be addressed through the retained per-capita grant channel.

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