Lisbon, Feb. 1, 2026 (Lusa) - The government announced a support package worth up to €2.5 billion on Sunday to respond to the damage caused by Storm Kristin, covering families, businesses and public entities.
The 14 measures, presented by Prime Minister Luís Montenegro, were approved at an extraordinary cabinet meeting, which also decided to extend the state of emergency until 8 February and to maintain the exceptional coordination and response mechanisms in place.
Here are the main points the prime minister announced:
+++ Support for the reconstruction of housing, agriculture and forestry up to €10,000 +++
The government has approved support for work on owner-occupied and permanent housing up to €10,000, with no documentation required when there is no applicable insurance, subject to inspection by the Regional Coordination and Development Commissions (CCDR) and municipal councils. The same scheme applies to damage to agriculture and forestry.
+++ Urgent interventions on roofs and roofing +++
A meeting will be held on Monday, 2 February, in Leiria with the Association of Construction Industrialists to organise rapid responses to repair roofs and roofing, which is considered a priority to prevent further damage.
+++ Creation of a task force for recovery +++
A task force has been set up in Leiria to coordinate the recovery of the affected areas, led by Paulo Fernandes, former mayor of Fundão, and comprising ministries, local authorities, CCDR, the social sector, and companies.
+++ Acceleration of insurance assessments +++
Insurers have committed to carrying out 80% of inspections within the next 15 days. In many cases, photographic evidence will be sufficient to activate insurance and allow for immediate repairs.
+++ Exemption from licensing for reconstruction works +++
Public and private reconstruction works are exempt from licensing and prior urban, environmental and administrative control, under the exceptional regime.
+++ Direct social support for families +++
Families in need or who have lost their income will be able to access social security support of up to €537 per person or €1,075 per household.
+++ Support for private social solidarity institutions +++
Financial support will be provided to Private Social Solidarity Institutions (IPSS) and similar entities to strengthen the social response in affected areas.
+++ Exemption from contributions and simplified lay-offs +++
Affected companies will benefit from exemption from social security contributions for six months and a simplified lay-off scheme for three months.
+++ Moratoriums on mortgage and business loans +++
A 90-day moratorium has been agreed on business and permanent mortgage loans, with the possibility of an extension for a further 12 months.
+++ Tax moratorium until 31 March +++
Tax obligations between 28 January and 31 March are postponed until April.
+++ €500 million credit line for cash flow +++
A €500 million credit line will be created to meet the cash-flow needs of companies and other legal entities, with the government estimating it will be available within a week.
+++ €1 billion credit line for business recovery +++
A second credit line, worth €1 billion, is intended to support the recovery of businesses not covered by insurance and should be operational within about three weeks.
+++ €400 million for road and rail infrastructure +++
The government will transfer €400 million from the State Budget to Infraestruturas de Portugal, earmarked for the urgent recovery of the rail and road network.
+++ €200 million for local authorities via CCDR +++
€200 million will be transferred to the CCDR for urgent financing to recover local public facilities and infrastructure, including schools.
+++ €20 million for cultural heritage +++
A budget of €20 million was also approved for urgent interventions in affected cultural heritage.
SCR/ADB // ADB.
Lusa
