Poland approves draft 2027 budget

The Council of Ministers of Poland has adopted the draft state budget for 2027. Its priorities include strategic infrastructure investments, strengthening the potential and competitiveness of the Polish economy, as well as energy security and the energy transition.

Under the draft budget, the government has allocated nearly PLN 5.8 billion to housing, including PLN 3.4 billion for the social and municipal housing programme (BSK), CE Report informs via the Ministry of Economic Development and Tecnology of the Republic of Poland's official website.

“We forecast that the Polish economy will grow at a high rate of around 3% in 2027 for another consecutive year. Poland is currently the sixth-largest economy in the European Union, and next year its share of the EU’s total GDP is expected to reach 5%,” Finance and Economy Minister Andrzej Domański said.

Energy security and energy transition

Spending on strengthening energy security and supporting the energy transition will amount to PLN 19.7 billion in 2027, up 8.3% (PLN 1.5 billion) from the current year. PLN 8 billion has been earmarked to capitalise the project to build Poland’s first nuclear power plant.

Planned investments include Baltica 2, with 1.5 GW of offshore capacity, a combined-cycle gas power plant in Rybnik and a lithium-ion energy storage facility in Żarnowiec.

For 2027, PLN 2.8 billion has been allocated to the Intervention Stockpiles Fund to ensure the country’s fuel security and the stable functioning of the domestic fuel market.

Strategic infrastructure investments

“Our priority remains development and economic growth. In the first half of the year, corporate investment increased by nearly 14%. In the second quarter, the estimated increase reached as much as 19%. As a government, we have focused on investment, and the effects are now clearly visible. We have unlocked capital, launched strategic projects and created room for companies to grow. Infrastructure investment is, of course, extremely important,” Domański said.

Planned spending on roads and railways alone will amount to PLN 62.4 billion in 2027, excluding funds for the construction of the Centralny Port Komunikacyjny (CPK), including PLN 26.4 billion from the state budget.

Of the planned road investments, PLN 1.7 billion will be allocated in 2027 to the programme for building 100 bypasses, while PLN 16.4 billion will go to the government programme for national roads through 2030.

Among the projects is the construction of National Road No. 7 (“Red Road”), which is considered crucial for the operation of the Port of Gdynia, the mobility of Poland’s armed forces and the country’s economic and defence security. The project is currently estimated to cost around PLN 4.5 billion.

A number of planned investments will restore rail services to towns that have been without them for many years, including Olecko, Bytów, Nowy Dwór Gdański and Limanowa. The government also plans to introduce speeds of 250 km/h on the route connecting Warsaw with Kraków, Katowice and Wrocław.

In the maritime economy sector, state budget expenditure is planned at PLN 2.4 billion in 2027, including PLN 1.2 billion for multi-year programmes.

Among the key projects is infrastructure providing access to the FSRU gas terminal being built in the Gulf of Gdańsk, which is expected to cover 30% of Poland’s annual gas demand. Plans also include the construction of a marine pier to support the development of Poland’s first nuclear power plant, a new nearly 70-kilometre waterway to the Port of Świnoujście, and improved access to the Port of Szczecin.

Housing

Between 2024 and 2026, the government allocated PLN 14.2 billion to housing development, financing the construction and renovation of 34,500 affordable-rent apartments. In 2026, the government also provided funding for the first time for nearly 3,300 student dormitory places.

Under the draft budget, the government will allocate a total of PLN 20 billion to housing between 2024 and 2027.

“Housing remains a government priority, which is why we are consistently allocating funds for its development. The rapidly growing number of new and renovated social housing units with affordable rents, together with funding for the renovation and construction of student dormitories, is improving living conditions for thousands of families and young people. These are also investments that stimulate local economies and contribute to the country’s economic development,” Domański said.

The social and municipal housing support programme (BSK) will receive PLN 3.4 billion under next year’s draft budget. The funds will enable municipalities, Social Housing Initiatives (SIMs) and Social Housing Associations (TBSs) to carry out hundreds of additional housing projects.

For the second consecutive year, public universities will also be able to apply for funding to create student accommodation.

“We are currently working on new legislative solutions concerning government support for housing investments. We want funding for the construction of municipal and social housing to become even more effective, while rental conditions should be better adapted to tenants’ needs. The main objective of the government’s housing policy remains the development of affordable rental housing for middle-income families,” said Tomasz Lewandowski, Undersecretary of State at the Ministry of Development and Technology.

For the first time, the 2027 draft budget also provides funding for housing bonuses paid under Housing Accounts. 2027 will be the first year in which holders of these accounts will be able to benefit from their accumulated savings.

The draft also provides budget funds for the TERMO programme for thermal modernisation and renovation of residential buildings, interest subsidies on loans provided by Bank Gospodarstwa Krajowego under the social rental housing programme, family repayments under family housing loans, rent subsidies under the Mieszkanie na Start scheme, and repayment of other liabilities incurred by the State Treasury.

Strengthening Poland’s economic potential and competitiveness

In 2027, PLN 3.6 billion is planned to support the competitiveness of Poland’s domestic industry in energy-intensive sectors.

More than PLN 1 billion has also been secured for the development and support of Poland’s space sector.

Photo Ministry of Economic Development and Tecnology of the Republic of Poland