Pedro Sánchez and Yolanda Díaz close the details of the anti-crisis decree

Euskaraz irakurri: Pedro Sanchezek eta Yolanda Diazek krisiaren aurkako dekretuaren xehetasunak adostu dituzte

The President of the Government of Spain, Pedro Sánchez, and the Second Vice President and Minister of Labor, Yolanda Díaz, met early this Tuesday and reached an agreement agreement to finalize the details of this third anti-crisis plan that the Council of Ministers will give the green light, according to sources from the negotiation have confirmed to Europa Press.

After what will be the last meeting of the Council of Ministers in 2022, Pedro Sánchez himself is expected to appear before the media to explain the aid from the third package of measures to mitigate the economic and social consequences of the war in Ukraine.

Within this package, which will enter into force on January 1, will include the extension of some of the measures currently in force and that expire on December 31, and other new ones related, mainly, to the shopping basketalthough it will also include support for the gas-intensive and ceramic industry.

New support measures

Despite the fact that in recent months Spain has managed to moderate the rise in prices, one of the new initiatives that is gaining momentum is the VAT reduction on certain products of the shopping cart, such as fish, with the aim of cushioning the impact of rising inflation.

In addition to the VAT reduction, a aid check of about 300 euros to alleviate the cost of the shopping cart, which will benefit around eight million people.

Extension of measures currently in force

The Government of Spain will extend throughout the year 2023 the gratuity of the Cercanías and Media Distancia tickets for frequent travelers.

In tax matters, the reduction of the VAT on electricity (from 10% to 5% from July 1) ) will be extended and the rest of the measures in force will be maintained, such as the extension of the social bonus discounts or the reduction of other taxes linked to electricity.

In addition, within the extension of the decree on anti-crisis measures, the transitory increase of 15% of the Minimum Vital Incomethe prohibition of the suspension of the supply of electricity, gas and water, and the ceiling of 2% for the annual rent update of the habitual residence.

It is also expected that the Government of Spain will extend the coverage of suspension of evictions habitual residence for vulnerable individuals and families. And the increase in energy costs will continue to be unable to constitute an objective cause for dismissal in companies that receive aid.

It should also be remembered that the Government of Spain included in its second aid package approved in June a direct aid of 200 euros for wage-earners, the self-employed and the unemployed registered in the employment offices who reside in households with an income of less than 14,000 euros and the freezing of the maximum price of butane cylinder at 19.55 euros.

What will happen to fuel aid?

One of the most questioned measures is the extension of the bonus of 20 cents per liter made out of fuel. It is not yet clear what will happen with this discount, but the First Vice President and Minister of Economic Affairs and Digital Transformation, Nadia Calviño, has acknowledged that it is a controversial measure due to its fiscal impact and for benefiting those who have a car and not the most vulnerable classes.

For this reason, the economic manager of the Government of Spain has opened the door to “focus it on the sectors that may be most affected”, among which she has mentioned transport, agriculture, livestock and fishing.