Spain Ends Gas and Electricity VAT Cuts, Fuel Discounts Still Continue

Spain withdraws VAT discounts on gas and electricity; fuel aid continues unchanged. Government launched anti-crisis package last March to combat economic instability risks.

Due to inflation slowdown and stable energy costs, tax reductions are removed.

VAT rate returns to previous level, following initial cut from twenty-one percent. The aid package remains active until late June for most protective measures.

Fuel VAT reductions and specific supports for farmers and transporters will persist. Government argues policy change supports stability amidst international economic uncertainties and risks.