The Spanish government has approved a new 10 billion euro aid package to reduce taxes and mitigate the effects of inflation to help the working and middle class, Prime Minister Pedro Sanchez said on Tuesday.
The Spanish authorities have already sent more than 35 billion euros “to respond to the social and economic consequences of the war in Ukraine. Thus, we have allocated 45 billion euros to protect the middle class and workers of our country in the face of the rising cost of living, energy and food,” he said during his speech to the Council of Ministers.
The aid package includes a reduction in VAT on basic foodstuffs, allocation of funds to the poor, which is more than 4.2 million families, financial assistance in the amount of 200 euros, discounts on electricity and gas, rental housing.
According to the National Institute of Statistics of Spain, the main factor in the price increase in Spain was the rise in electricity price by almost half.