Andreas Vyras opposes funding municipal reform through tax increases

On July 31, 2026, the President of the Union of Cyprus Municipalities, Andreas Vyras, held a press conference in Nicosia to address the financial crisis facing local authorities. Vyras explicitly rejected the proposal to fund recent municipal reforms through increased taxes on residents, arguing that such costs must be covered by state resources. He highlighted that while state tax revenues grew from €4.65 billion in 2010 to €10.8 billion in 2024, funding per citizen dropped from €188.35 to approximately €155, despite the consolidation of 63 communities and increased operational responsibilities.

Vyras further clarified that the actual state grant for municipalities stands at €117 million, significantly lower than the €139 million figure required when adjusting the 2019 agreement for inflation. He warned that new municipal councils face potential criminal proceedings for inherited debts from former community councils, which the state is now aggressively pursuing. Consequently, the Union of Municipalities has decided to initiate escalated protest measures against the government’s stance.