Spain: diesel tax cut jumps to 20 cents a litre
Diesel buyers in Spain get a 20-cent-a-litre fuel-tax cut from Tuesday, 1 September, after diesel prices rose 15.7% in July. The reduction had been set at 5 cents for September. Petrol keeps its 5-cent-a-litre cut.
The larger diesel tax cut is triggered automatically under Spain’s crisis-response plan once annual price growth passes 15%. July’s rise crossed that line, while petrol’s 7.3% increase stayed below it.
The Ministry of Economy links the measures to the energy shock caused by the war in Iran. It says the rest of the crisis package remains in force.
Pump prices keep climbing
Fuel prices rose for an eighth consecutive week last week. A litre of diesel averaged 1.861 euros, up 1.8% on the previous week, while petrol rose 1.55% to 1.723 euros a litre.
Diesel has increased by more than 23.7% and petrol by 19.8% since the VAT reduction to 10% ended at the start of July.
Inflation reaches 4.3%
Spain’s annual inflation rate climbed from 3.6% in July to a preliminary 4.3% in August, according to the National Statistics Institute. It blamed the jump chiefly on dearer fuels and lubricants for private vehicles.
The final August inflation reading is due on 15 September.
Source: Europa Press / Mallorca.com