In a statement, the parliamentary group announced plans to submit a proposal to the Assembly of the Republic to eliminate VAT on electricity in Portugal, "following the decision announced by the new UK Government," led by Andy Burnham, the new Prime Minister and Labour Party leader.
"Electricity is an essential good today. It is indispensable for families, businesses, schools, hospitals, and the entire economy. Therefore, it cannot continue to be viewed by successive governments merely as a way to collect more revenue," argues the parliamentary group led by Pedro Pinto.
Chega maintains that this measure "should be part of the next State Budget so that the elimination of VAT on electricity comes into effect on January 1, 2027."
Describing this tax as "outright theft by the State from taxpayers," the party argues that, "along with high fuel taxes, this tax burden represents a constant drain on families and businesses, who are paying increasingly more for essential goods."
"At a time when other countries are choosing to lower energy taxes to help families and boost economic competitiveness, Portugal cannot continue to do the opposite. Within the framework of coordination with the European Union, Portugal must make the application of zero VAT on electricity a strategic priority," the statement reads.
The parliamentary group further argues that "reducing external dependence and recognising electricity as an essential good justify treating it as a priority tax issue, similar to the approach taken regarding VAT on the basket of essential food items."












It's laughable that Chega is getting inspiration from the UK Labour Party, effectively trying to copy the latter's latest policy. Somehow I don't think these two parties would see eye to eye on most policy issues!
If taxation is considered theft by the State, taxes would be abolished entirely. Someone somewhere has to pay tax to fund public services. That's the reality.
By Billy Bissett from Porto on 22 Jul 2026, 10:56
This would be nice to see.
Portuguese taxes are very regressive and punish the poor.
By Mark from Lisbon on 22 Jul 2026, 11:38