It will not have escaped your notice that legislators have been busy this year, passing a number of bills that affect, for example, compulsory liability, mortgages, saving for retirement and building societies.
You don't have to worry about missing out. We keep a close eye on everything. A number of new developments have not yet been finally approved. When they are, we'll keep you informed.
Below we send you just a basic overview of the changes that are (probably) coming in the next year. If you need advice in any of these areas, we are here to help. We will also be happy to help you with any other matters relating to finance.

What changes with certainty

Building savings:

the maximum state support will halve to a maximum of CZK 1,000. This applies to all contracts. For 2023 you will still get the full state support of CZK 2,000 for a deposit of CZK 20,000, so take advantage of this. Feel free to contact us if you would like advice on how best to manage your building under the new conditions.

News in road traffic:

Since 1 January, we will start saying goodbye to the large technical licences for cars. We will now get a COC certificate from the manufacturer when we buy the car and with this we will go to the registration office where we will then get a Certificate of Registration of the Vehicle (ORV). Even 17-year-old drivers with valid licences will be able to get behind the wheel under adult supervision, and it will be possible to drive at speeds of up to 150 km/h on some sections of motorways (planned from 2026).

Mortgages:

After deactivating the DSTI limit from 1 January 2024, the Czech National Bank will also deactivate the DTI limit, which should make mortgages more affordable for some customers.

What is most likely to change

Compulsory liability:

The minimum legal limits for compulsory liability will probably rise from CZK 35 million to CZK 50 million from March. Insurance companies will do this automatically, only for older contracts they can deal with it individually. It should not affect the price of insurance either. The need for compulsory insurance will also apply to certain motorised vehicles such as electric scooters, garden tractors (if they are driven on public roads) or snowmobiles. The weight and maximum speed will be decisive - compulsory insurance will now have to be arranged for motor vehicles if the speed is more than 25 km/h, 14 km/h if the weight is more than 25 kg. Electric bikes are exempt, but some EU Member States may require compulsory insurance for them as well - or contact us to find out how to deal with this situation.

There will also be a transfer of the liability insurance liability from the owner to the operator who is registered on the technical licence, but nothing major will change for the average client.

Mortgages:

The fee for early repayment of a mortgage outside the cases defined by law will probably increase to a maximum of 1% of the outstanding principal. The option to repay up to a quarter of the outstanding loan per year remains.

Saving for retirement:

There's more here, but the changes are not definitive:
  o The state contribution will rise, but you will also need to increase your deposits to get it. You will have to increase your contribution to at least CZK 500.
  o Contributions totalling up to CZK 48,000 will be deductible from the tax base, and at a 15% tax rate the savings will amount to CZK 7,200 a year.
  o Pensioners who are still contributing to their savings will probably no longer receive state contributions from 1 July.
  o For contracts set up after the law comes into force, there will be a condition to save for at least 10 years (today 5) to withdraw funds without losing state contributions. Funds can be withdrawn without penalty after age 60.
  o Pension companies will be able to set up an alternative fund for bolder investments with potentially higher returns.
  o There will also be a DIP called the Long Term Investment Product, which will be a way to save/invest for retirement with a tax advantage and also the option of employer contributions.

We'll continue to keep you informed of all the changes. And don't worry, in January 2024 we'll revisit the topic of the positive impacts of financial health care, as promised.