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Date Published: 27/06/2022

ARCHIVED - Spain extends crisis fuel measures until December and green lights aid for low earners

ARCHIVED ARTICLE

A 200 euro payment will be offered to low-income earners in Spain

<span style='color:#780948'>ARCHIVED</span> - Spain extends crisis fuel measures until December and green lights aid for low earners

The Spanish government held crisis talks this Saturday, June 25 and agreed on a number of measures to ease the financial burden caused by the war in Ukraine and the seemingly unending rise in prices. The aid package, which will cost the national coffers an additional 9,000 million euros, will be in place until the end of December.

This is broken down into 5,500 million euros in aid to low-income earners and 3,500 million in tax rebates.

Direct aid

The government has approved a direct aid of 200 euros for self-employed business people and low-income or unemployed residents that will be available from July. The payment will be offered to family units whose joint income is less than 14,000 euros per year.

Pensions

Non-contributory retirement and disability pensions will be increased by 15%, which represents an additional 60 euros per month (360 euros between now and the end of the year).

Electricity

Last week, president Pedro Sanchez announced that the VAT on electricity would be lowered from 10% to 5%, and the weekend’s meeting confirmed that this reduction, along with other measures such as the social bonus discount and tax breaks, will be maintained until the end of December.

Fuel

The 20-cent per litre discount on petrol and diesel has also been extended until the end of the year.

Vulnerable groups

The Minimum Vital Income (IMV) aid will be extended for vulnerable families, as will the cap on rent increases.

Public transport

From September, Cercanias, which is a service provided by Renfe and operates public transport on roads owned by Adif, will reduce its prices by 50%. In addition, tickets for metro and bus trips will cost 30% less, and this discount can be extended to 50% also if the autonomous governments make up the difference themselves.

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