head of government, Pedro Sanchezchose to use the checkbook to cheapen food, which is the most triggered variable in the consumer price index (CPI) currently, up more than 15% year-on-year. In any case, out of $10,000 million of the cost of the new catalog of measures approved by the Executive, those aimed at reducing the price of the shopping cart, according to the Treasury’s calculations, are about €1,800 million; only one-fifth of the total.
Measures initiates a 200 Euro check that income less than 27,000 Euro can benefit from and this check will reach a total of about 4.2 million families representing about 1,200 million and VAT abolition (type 0%) for basic food products currently taxed at 4%, including: bread, eggs, milk, cheese, even fruit or vegetables; and a special VAT reduction from 10% to 5% for oil and pasta for six months, another 661 million during this period. Removing the 20 cents discount on fuel for all users at a cost of around 6,000 million and maintaining only the primary sector and transport will make it possible to finance the stellar measure to lower the price of the shopping cart. It means big savings for the manager.
Another of the stellar measures impacts the residence and, along with its shopping cart, has become the protagonist of a long and difficult negotiation between the PSOE Government and United We Can (UP) partners. It was eventually translated into: six-month extension on expired lease agreements, To this is added a 2% limit on reviewing contracts until 31 December 2023. “Attempts against the property rights of more than two million owners”. It also draws attention to the limitation of fuel assistance to the primary sector and transport (goods, buses, taxis, VTC and ambulances), as announced by EL PERIÓDICO DE CATALUNYA from the Prensa Ibérica group.
Sánchez coded at a press conference following this year’s last cabinet meeting. The total cost of mitigating the effects of the war in Ukraine is 45,000 million. To the 35,000 million allocated to date added 10,000 million more than the new package of measuresProtecting the “working middle class” to lower electricity prices, promote public transport, and support the most vulnerable. Same time Limited toll increase on state concession highwaysOtherwise, it should increase them by 8.5%.
In addition to making the Spanish economy finally grow more than 5% this year (4.3%) than expected; He assured that Spain has “issued” the measures today, unlike the financial crisis that had to ask for the bailout of the banks. “What Spain did ten years ago was to import bailouts into the banking sector and What Spain is doing today is exporting solutions to the rest of Europe.. Solutions to inflation and energy prices are a success for the country.
less inflation
Chief Executive Officer, thanks to a series of initiatives supported by the Government the inflation reduced by almost four points and currently 6.8% in November, the lowest level in the euro area. Sánchez has implemented the measures agreed to date and Sharing efforts to overcome the crisis. He underlined this point. taxes on energy, banking and assets exceed three million euros.
He defended his commitment made during the State of the Nation debate to provide an “urgent” response to the war in Ukraine. “Protecting workers”, “Distribute the burdens equitably so that the man who has the most will bring closer, and the one who has the least will ease his fiscal policies” and “Increasing our country’s energy sovereignty, expanding renewable resources and limiting gas prices”. This section includes 15% increases in non-contributory pensions and minimum living income.
Facing opposition criticism gas price cap Aiming to generate electricity, Sánchez recalled that these are measures currently being adopted at the European level. In the last six months, the average electricity price is 54% below Germany’s and 59% below France’s. He explained that all this has so far resulted in savings of an average of 4,000 million or 150 euros per invoice.
A large part of the costs of the crisis management plan, to extend the tax cut Electricity bill until 30 June 2023 (VAT 5%, Special Electricity Tax 0.5% and suspension of electricity generation Tax) and also extension of VAT to 5% for natural gas, ‘pellet’ or firewood Also until the same date. Free Renfe tickets for Cercanías and Rodalies. The state will subsidize 30% of urban and intercity transport in autonomies, which in turn subsidizes 20% of the price.
The President underlined his thanks. labor reformTransience has decreased, especially among young people. He emphasized that all this is within the framework of social dialogue. And this social contract made it possible to reorganize the contribution of the self-employed and improve their benefits alongside domestic workers, and return to the Toledo pact, which was broken by the PP’s “counter-reform”. revaluation of pensions according to CPI. In this context, it is the decree that foresees an 8.5% increase in pensions until 2023.
Sánchez announced that it is possible for Spain to grow by more than 5% this year, which is above the euro area and developed country average. It predicts that it will grow above average next year as well. In turn, it reaffirmed the Government’s commitment to take palliative measures if necessary.
He stressed that Spain has already taken it. 31,000 million from European funds and 136,000 projects already executed. These initiatives promote regional cohesion, he insisted. “We can say that Spain is advancing,” he said, despite the challenges and a government that fulfilled its commitments.
The Royal Decree also provides up to 450 million direct hotlines for gas-intensive industries and covid and Pre-authorization system for investments in strategic sectors.