From limiting the increase in rents to the decrease in VAT on bread: all the anti-crisis measures of the Executive

MADRID, 27 Dic.

From limiting the increase in rents to the decrease in VAT on bread: all the anti-crisis measures of the Executive

MADRID, 27 Dic. (EUROPA PRESS) -

The Council of Ministers approved this Tuesday the third aid package to alleviate the economic and social consequences of the war in Ukraine, which will come into force this coming Sunday, January 1, and will have an impact of 10,000 million euros.

Specifically, the decree includes novelties such as freezing the rental price for six months when contracts have to be renewed or a 200-euro check for families with incomes of less than 27,000 euros per year and with assets of no more than 75,000 euros. Next, all the measures that the Executive has approved.

To deal with the rise in food prices, the Government has decided to abolish for six months the 4% VAT that is applied to all basic foods, including bread or milk, and has reduced from 10% to 5% that of the oil and the paste.

The Government will provide aid of 200 euros for 4.2 million families, those with annual incomes of up to 27,000 euros and do not have assets of more than 75,000 euros. Excluded from this aid, which will be received in a single payment, are pensioners and recipients of the Minimum Vital Income.

Reduction of 30% of urban and interurban public transport in the territories where the regional and municipal government complement it up to 50%. To this we must add the free Suburban, Rodalies and Medium Distance Renfe season tickets during the year 2023.

The current reduction in electricity and gas taxes will be extended for another six months. In addition, the maximum price of the butane cylinder will be frozen.

In terms of housing, the royal decree of economic aid to face the rise in prices extends the maximum increase of 2% of rents until December 31, 2023 and establishes the automatic extension for six months of contracts that expire before June 30 of the following year. In this case the rent increase limit will also be 2%.

In addition, the new package of measures also includes the extension for another six months, until June 30, 2023, of the suspension of evictions and housing launches for the most vulnerable households.

Likewise, the cutting of essential supplies and extension of the social bonus is prohibited throughout 2023, and the 15% increase in the minimum vital income and non-contributory pensions is maintained.

The 15% increase in the minimum vital income and non-contributory pensions is maintained. In the same sense, the social bonus will be extended throughout 2023 and the cutting of essential supplies will be prohibited.

The Executive will provide 300 million in direct aid to farmers, to offset the increase in costs due to the increase in fertilizers.

The fuel bonus is maintained for professional road transport, farmers, shipping companies and fishermen. Specifically, the extension of the discount of 20 cents per liter will take effect for professional road transport and will be paid at the end of each month. Until March this discount will be 20 cents and from April to June it will drop to 10 cents.

In the case of farmers, direct aid of up to 20 cents per liter will be executed through the refund of the special hydrocarbons tax. On the other hand, 120 million will be dedicated in direct aid for fishermen.

Likewise, the Government has devised support measures for the gas-intensive industry. In this way, a new ICO liquidity line of 500 million euros will be created and 450 million euros will be invested in aid for the ceramics sector and other subsectors.

In addition, we must take into account the 3,100 million public investment through the new PERTE for industrial decarbonization.

On the other hand, the Council of Ministers has also given the green light to the revaluation of 8.5% of pensions in 2023, in accordance with the increase in inflation.

Lastly, with the aim of reinforcing primary care services, the Executive has approved improved active retirement, which will allow primary care health professionals, family doctors and pediatricians of retirement age to continue for the next 3 years making the 75% of your pension with full-time or part-time active service.

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