The message and promises go hand in hand

We tackled the problem of debt-ridden homes
-> The Debt Relief Program was an action plan aimed at breaking the economical standstill, reducing the country’s housing debt and to create an incentive to investment. The action had the greatest significance for people with below-average income. Household debt has not been lower since the year 2003.
People are better off today than they were four years ago
-> The purchasing power parity has risen well over 20% during this electoral term and has never been greater. Jobs have increased by just over 15.000 and the unemployment rate is lower than often before.
Easing restrictions
-> The people of Iceland will soon reap the benefits of capital restrictions being lifted entirely. A plan is in motion that is based on the ideology of the Progressive Party and has basically been accomplished on the whole. It was executed in a way that the Icelandic Krona has strengthened and inflation has been low. Creditors agreed on hundreds of billions of financial stability contributions to the government and offshore ISK owners were presented with clear alternatives.
Incentives to lessen the importance of indexation
-> First Real Estate is the logical continuation of the Debt Relief Program. This action makes it easier for people to put a roof over their heads and encourages them to take out non-indexed housing loans. It’s possible to lower the debt load of non-indexed housing loans by using the private pension product for 10 years. General actions cited in laws on housing loans encompass an encouragement to take out non-indexed housing loans. The first steps to abolish indexation have been taken.
The Social Security System revised
-> Pensions raised for all pensioners. The pension system for elders will be changed in a way that the system will be simpler, offer more flexibility, krona vs. krona impairment will be annulled and nominal pensions will rise, consistent with labour market minimum wage.
We set clear and responsible goals and achieve them with a purposeful policy
*
Our Achievements
-> The Debt Relief Program was realized
-> The easing of capital restrictions
-> Our creditor actions were executed
-> 15.000 new jobs and strong growth
-> The purchasing power parity has never been greater
-> Inflation contained
-> Introduction of a new Social Security System
-> Compensation impairment retracted
-> Climate agreement signed
-> Higher maternity pay
We are both a radical and responsible party. We have a clear vision on how we want to make our society and economy better and we never shy away from going unconventional ways. The goal is to apply stability and we intend to keep it that way.
We are at a crossroads. A total reversal in Iceland has happened over the last few years because of the Progressive Party’s clear vision and purposeful policy. Messages and promises have gone hand in hand. We set out to tackle the problem of debt-ridden homes and to ease capital restrictions. Both of the two have been realized. Because of that we are standing on a solid foundation that makes it possible for us to make our society even greater.
The future of Iceland is bright if we do things right.
*

The Progressive Party

For the people

*
The Economy
Value creation is the prerequisite for welfare. Payroll tax should be lowered. We need to simplify rules, regulations and the taxation system and thereby create a positive incentive for business activity. Innovation will be boosted in all areas of the economy by using tax reliefs.
Let’s support the growth of the tourist services. Arrival fees shall be collected which will be utilized to strengthen the infrastructure, transport, telecommunications and tourist destinations. We need to increase tourism outside traditional tourist destinations.
Financial system for people and companies. A detailed examination shall be executed in the financial market. Commercial banks should offer primary service for homes and companies and should not exercise venture management. Landsbankinn will still be owned by the Icelandic state. It’s time to revise the monetary policy since conditions have changed significantly in the last years. Real interest in Iceland have to adjust according to a changed reality.
*
Households
More power to the middle class. We want the middle class and people with below-average income to have more spending money. The lowest tax rate shall be lowered substantially, the taxation system should be pay incentive and personal tax-free allowance disbursed. We want individual tax returns.
Elders in the forefront. Nominal pensions will be 300.000 ISK per month, consistent with labour market minimum wage. The revision of the The Social Security System will be completed. Dental care for elders will be free of charge and convalescent rooms will be built all over the country.
Families in the foreground. Maternity leave will be 12 months and the payment limit will be raised to 600.000 ISK. Child allowance will be raised and baby clothes will be exempt from V.A.T.
*
The Future

• World class health care. A new National University Hospital of Iceland will be built at a new location and contributions to health care institutions all over the country will be higher. Public health will be strengthened and waiting time will be shortened with more general practitioners and psychologists. Cost participation will be lowered and preventive measures will be taken to improve public health.

• Everyone is equal. Equality will be a key factor in all aspects of strategic management and the values of equality will be taught in all educational levels. Sex-related wage differential shall be eliminated in co-operation with labour market parties.

• An educational system on top. The key to a successful society are strong schools and good teachers. Students should benefit from finishing their studies in the designated time, with part of the student loans being transformed into scholarships, for example. Vocational training and apprenticeships should be especially supported.

• Safe housing market for Icelanders. First Real Estate is the logical continuation of the Debt Relief Program. Let’s secure more residential housing with a bigger number of building sites and simpler rules on housing construction.

• Future stability. The prime prerequisite for a happy future for both homes and economy is economical stability.