Mário Centeno told journalists in Lisbon that the government “would maintain the sense of responsibility that has guided us throughout the years.”

He said there would be a new stage of social benefits and the inclusion of people in temporary employment with the state.

“The individual income tax forecast for 2019 is the result of the fiscal alterations carried out in the state budget this year, but its impact will extend throughout 2019,” Centeno added.

The minority Socialist government, which is backed by the Left Bloc and Communist Party in parliament, has reversed several austerity measures of the previous centre-right government, and seeks to cut the deficit this year to just 0.7%.