The Council of Ministers approved a package of measures aimed at easing the financial burden on citizens of the war in Ukraine and the recently reignited conflict in the Gaza Strip. Among them is the President of the Government. Pedro Sánchez confirms the abolition of commissions for cash withdrawals through the window for the elderly and disabled. This is a measure put forward by First Vice President and Minister of Economy, Trade and Enterprise Nadia Calviño at a meeting with representatives of financial users and the Bank of Spain a week ago. Sánchez also confirmed that taxes on banks and energy companies have been extended for at least a year, although in the latter case a series of cuts linked to decarbonization projects will be introduced.
The removal of commissions for cash withdrawals through the window is in line with the protocol signed in February 2022 to guarantee the financial participation of both groups. Since then, they Improved customer service hoursWorking hours were extended in 82.2% of the branches, almost all ATMs were adapted, and financial education was provided to approximately 300,000 elderly people in the first half of this year. As the Minister announced at the time, quarterly monitoring and communication of progress will continue to include necessary improvements.
Another approved measure is Elimination of all early repayment commissions in variable interest housing loans and transition to fixed interest loansas well as the expansion of free conversions from variable to mixed rates. Mortgage relief options include freezing the interest rate for 12 months, extending the repayment period to up to 7 years and a 2-year grace period for families with incomes below €25,200 (i.e. three times the income). IPREM (Very Effective Public Income Indicator). The government estimates that: Approximately 116,000 families will benefit from these aids That’s 21% more than the Bank of Spain’s figure of 549,000 mortgage holders calculated in the spring.
The Council of Ministers also approved Extension of temporary taxes on banks and energy companies At least for another year. While the tax affecting financial institutions remains unchanged, there will be some changes to the tax on energy companies for next year. In particular, from January 1, cutback measures will be introduced for projects linked to decarbonisation and a commitment to review a tax figure that will become permanent. In this way, banking tax will continue to be collected at a rate of 4.8% on the interest and commissions of banking institutions that invoiced over 800 million Euros in 2019. The rate will be determined in 2023 and 2024 based on revenues generated in 2022 and 2022. It is provided through commissions and affects only activity carried out in Spain. between two taxes tax authorities It raised 2 billion 908 million euros in 2023, just 100 million below forecasts government.