The main Czech leftist party will hike taxes for top earners and companies and gradually trim the budget deficit after the recession ebbs, it said on Wednesday in an economic programme for October elections. The Social Democrats promised to raise social spending as well as wages and pensions, but at the same time want to cut budget gaps and possibly adopt the euro in 2014-2015 “if economic development permits”. The caretaker cabinet says adopting the euro was out of the question for now and deep budget cuts and reforms of welfare and pensions were needed to avoid a collapse of state finances.
