Özgür Özel Slams 2026 Budget: “Tax Burden on the People, Silence from the Palace”

Debate over Turkey’s 2026 Central Government Budget Bill and the 2024 Final Accounts Bill continued in the Grand National Assembly as CHP Chair Özgür Özel delivered a forceful speech criticizing the government’s economic performance, budget priorities and tax structure. Speaking on behalf of his party, Özel responded directly to Vice President Cevdet Yılmaz, accusing the government of masking economic decline with selective language and political spin.

Referring to Yılmaz’s assessment of the agricultural sector, Özel said:

“Cevdet Yılmaz described it as ‘negative 12.7 percent growth.’ One does not grow by minus 12.7 percent; one shrinks. When growth is not what they hoped for, they try to present it as ‘moderate but stable.’ I understand the embarrassment of those who boast that minimum pensions increased by 640 percent since 2002, despite this terrible performance. But politics is not only about applause and power. After such a disastrous record, one should offer self-criticism. We expected self-criticism.”

“If the Budget Isn’t for the People, Parliament Becomes Just a Stage”

Drawing on historical examples about taxation and representation, Özel reminded lawmakers that the struggle over who controls public money has always defined political systems. He argued that a budget reflects the true nature of a regime, not just numbers on paper.

He stated:

“If the budget is not prepared for the people, then Parliament is merely a building, this chamber merely a stage, and citizens nothing more than spectators. Democracy cannot go beyond recited lines.”

He emphasized that a budget determines whose wealth will grow, whose livelihood will shrink, and who will bear the burden of government choices. Therefore, he argued, those in power must stand before Parliament and explain their decisions.

Referring to President Erdoğan’s absence from the budget presentation, Özel added:

“If there is to be respect for Parliament, the true owner of the budget should stand here—not to give a political speech, but to account for the budget before the nation. May God not deprive anyone of the courage required to stand where one must explain a budget to the people.”

Inflation, Poverty and Record Deficits

Özel painted a bleak picture of Turkey’s economic landscape, arguing that the country has endured multiple crises since 2018. He said:

“Turkey is the leader in Europe in inflation. Our October monthly inflation rate was higher than the annual inflation of 71 countries. Turkey is also first in Europe in poverty, unemployment and high interest rates.”

Citizens listening to the budget, he said, saw a stark reality: a plan with 16.3 trillion TL in revenue and 19 trillion TL in spending, creating a deficit of 2.7 trillion TL, the largest in the Republic’s history.

“Turkey Leads Europe in Tax Injustice Too”

Özel argued that Turkey’s tax system places a disproportionate burden on ordinary citizens:

“Of every 100 lira of tax, 63 lira comes from indirect taxes—paid equally by rich and poor. Another 25 lira comes from taxes on workers’ wages. Only 11 lira comes from corporate profits. No European country has such an imbalance.”

He illustrated the problem with striking examples. A car with a base price of 700,000 TL, he noted, ends up costing 1,524,000 TL after ÖTV, VAT, and other taxes:

“In Turkey, automobiles are essentially rolling tax offices. A person who buys one car must buy a second one for the state.”

Meanwhile, luxury items such as diamonds and high-end watches face minimal taxation.

For wage earners, he described how income tax brackets push workers into higher brackets early:

“A young professional earning 73,000 TL a month pays 200,000 TL a year in income tax. Three out of twelve months’ salary goes straight to the state.”

CHP’s Alternative: Shift the Burden Upward

Announcing revised CHP policy proposals, Özel said his party would:

• Reduce indirect taxes to European levels (around 30%)

• Raise the first income tax bracket significantly

• Allow deductions for education, rent, and healthcare expenses

• Shift ÖTV from basic goods toward luxury consumption

Education and Health: “A System That Fails the Poor”

Özel argued that the government has eroded equality in education:

“The poorest 20% of society accounts for only 2.3% of education spending, while the richest 20% accounts for 64%. This is not inequality—it is structural injustice.”

He pledged that a CHP government would ensure that all students graduate high school with strong foreign language skills and technological competence, provide free meals and clean drinking water in schools, and expand state-run preschools.

Turning to healthcare, he criticized long waiting lists and the departure of thousands of doctors:

“In the last five years, 11,700 doctors have left the country. The people will decide who stays and who goes.”

He promised to rebuild public healthcare, reopen closed hospitals, strengthen preventive care, and eliminate the “money determines treatment” system.

Housing Crisis: “We Will Launch a Social Housing Mobilization”

Özel warned that high rents now exceed wages and pensions:

“In major cities, average rent is 30–35 thousand TL. Both minimum-wage earners and pensioners must choose between paying rent and eating.”

CHP, he said, will prioritize social housing, expand TOKİ’s role and require social housing quotas in development zones.