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House OKs budget bill on 3rd reading
Business World Philippines
|October 14, 2025
THE HOUSE of Representatives on Monday passed on final reading the proposed P6.793trillion national budget for 2026, concluding 62 days of deliberations marked by heightened scrutiny over a widening corruption scandal involving flood control projects.
Majority or 287 congressmen approved the revised budget bill that rechanneled the bulk of funding from numerous flood control projects under the Public Works department to priority sectors such as education, in a move aimed at strengthening human capital development.
Twelve congressmen voted against the measure, while two opted to abstain from voting.
"This budget cycle is unprecedented," Nueva Ecija Rep. Mikaela Angela B. Suansing, who heads the House Appropriations Committee, told the floor. "We needed to navigate through complexities while implementing sweeping reforms in long-standing budget processes and traditions." Lawmakers deliberated on House Bill No. 4058 or the 2026 General Appropriations Act against the backdrop of the multibillionpeso flood control controversy, drawing in closer-than-normal scrutiny amid calls to make the budget process more transparent.
The 2026 spending plan, which was 7.4% higher than this year's national budget, saw a select committee of lawmakers redirecting P201.1 billion or 78.86% of the P255 billion worth of funding originally intended for flood control infrastructure primarily towards education, food and healthcare sectors.
The House sub-committee on Budget Amendments Review last week finalized a P56.6-billion increase in education sector funding under the proposed budget, bringing total allocations to a record P1.28 trillion, Ms. Suansing said.
This includes a hike in allocation for the Education department's new classroom funding by P35.09 billion. "[This] will translate to around 25,200 new and rehabilitated classrooms," said Ms. Suansing.
The sub-panel rechanneled about P90.7 billion to the health sector, with the bulk of the funding going to the Philippine Health Insurance Corp. (PhilHealth) subsidy at P60 billion, following last year's controversy over the government's pullout of funds from the state health insurer.
This story is from the October 14, 2025 edition of Business World Philippines.
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