Government Proposes Removing AUH Automatic Increases in 2027 Budget

Overview

• The budget proposal sent by the executive branch includes article 17, which would repeal articles 1, 3 and 4 of Law 27.160 that guarantee mobility for the Asignación Universal por Hijo (AUH).
• The text that reached Congress on Wednesday does not include any new formula to replace the current automatic-update mechanism calculated by ANSES.
• If Congress approves the change as written, AUH and other family allowances would lose their legal guarantee of automatic adjustments rather than immediately freezing payments for all of 2027.
• The absence of a replacement method creates administrative and budget uncertainty for beneficiaries and for ANSES, because future increases and their timing would depend on later decisions by the government or lawmakers.
• The measure still requires debate and a vote in Congress, and lawmakers could amend the proposal to keep mobility, create a new update formula, or set a different update process before it becomes law.