Haredi parties to advance 2026 budget even though draft exemption bill has yet to pass — report

Despite declaring that they would not support the 2026 state budget until the coalition passes its controversial bill exempting yeshiva students from military service, the ultra-Orthodox Shas and Degel HaTorah parties plan to vote in favor of the budget in its first reading, Channel 12 reports.

According to the network, following the first reading of the budget bill in the coming days, the two Haredi parties will withhold their support for further votes on the budget until the exemption bill’s legislative process is completed.

Finance Minister Bezalel Smotrich is expected to submit the 2026 state budget to the Knesset tomorrow, with its first reading to be held either on Wednesday or next Monday, the Ynet news site reported earlier today.

Knesset Legal Adviser Sagit Afik informed lawmakers today that a first reading of the budget must be held by next week because at least two months must pass between the first and second readings of the budget, the latter of which must be held by the end of March.

Under Israeli law, if the government fails to pass the budget by the end of March, the Knesset will automatically dissolve, triggering early elections three months later. Elections are currently slated to be held by late October.

Degel HaTorah chairman Moshe Gafni last week told Haredi media that he would not support the first reading of the budget without a conscription law. Earlier this month, Shas spokesman Asher Medina warned that the party would not vote for the 2026 state budget without the prior passage of the conscription bill.

However, speaking with national broadcaster Kan today, a senior Shas official stated that if the budget comes up for a vote before work on the bill is finished, his party would support it.

This afternoon, Ynet reported that Degel HaTorah’s MKs are planning on bringing the matter of the budget to their rabbis for guidance.