People Power Party and Seoul City vow to “block pork-barrel spending” ... Oh also calls for easing housing-supply regulations

[Financial News] The People Power Party and Seoul City agreed that cash-based welfare spending should be cut in connection with the 2027 government budget proposal, set at 821 trillion won, and the 162-trillion-won Future Fund. Seoul Mayor Oh Se-hoon also asked the People Power Party to ease regulations to boost housing supply.
At a “People Power Party–Seoul City Budget Policy Consultation” held at the National Assembly on the 6th, party leader Jang Dong-hyeok criticized the government, saying, “They talk about growth for everyone, but they’re throwing a debt-fueled party for themselves, feasting among themselves,” and, “This administration is trying to squander the money the people have built up through their blood and sweat.”
The People Power Party and Seoul City also stressed that they were on the same team and would cooperate during the budget review process. Jang said, “We will boldly weed out bad spending and ensure that the money goes where it is truly needed,” and, “We will secure every bit of national funding Seoul needs. We will also put a stop to the unreasonable practice of the government taking credit while Seoul residents shoulder the burden.”
Floor leader Jeong Jeom-sig said, “Relying on a temporary tax-revenue boom, the government is pushing irresponsible expansionary fiscal policies that allow national debt and interest costs on government bonds to snowball,” adding, “We will make sure that pork-barrel and showpiece expansionary fiscal spending and the Future Fund gimmick are blocked during parliamentary review.”
He also declared his commitment to supporting the Seoul municipal government. Jang said, “No matter how difficult the fiscal circumstances, we must secure every bit of national funding needed to open up Seoul’s future and protect the lives of its residents,” adding, “We will do our utmost to support the policies Seoul is prioritizing under its ‘Seoul, a Special City for Quality of Life’ agenda, so that budget shortfalls do not hold them back.”
Seoul Mayor Oh Se-hoon urged the People Power Party to provide support, saying that government cash-based welfare policies, including the Livelihood Recovery Consumption Coupon and high oil price subsidies, were increasing Seoul City’s fiscal burden. Oh said, “Seoul residents’ per-capita tax burden is among the highest in the country, but national funding is among the lowest,” and asked, “Please also rationally improve central government subsidy rates that work against Seoul, including those for child allowances and integrated care programs. And please set right this fiscally miserly administration, which severely restricts support for local governments despite having ample fiscal resources, including the Future Fund.”
He also called for easing regulations to boost housing supply. Oh said, “Please lend your support to swiftly improving regulations that stand in the way of housing supply, including raising the LTV limit on relocation loans, easing restrictions on the transfer of redevelopment association membership, and increasing floor-area ratios for private-sector redevelopment projects.”

[email protected] Lee Hae-ram Reporter