The government takes out the checkbook again. To protect low-income households faced with prices at the pump that remain at high levels, Elisabeth Borne announced on Wednesday a new fuel allowance of 100 euros for 10 million French people.
Paid at the beginning of 2023, this aid will cost the state coffers around one billion euros. The executive initially had an envelope of 1,600 million to set up a “big wheel” device. Therefore, 600 million euros will be available for possible other aid to households.
8,000 million euros for the fuel discount
This fuel check will replace the 10-cent pump discount in effect since mid-November and will end on December 31. Before, between April and September, this same discount was 18 cents per liter, then 30 cents between September and mid-November.
The Government had initially budgeted 7,600 million euros for this aid alone for the entire year 2022. The global endowment finally rose to just over 8,000 million when the reduction of 30 cents, which supposedly went to 10 cents on November 1, has been extended by two weeks. A sum that is equivalent to the “budget of the Ministry of Justice”, stressed last week the Minister of Public Accounts, Gabriel Attal.
The fuel discount already followed a first aid announced in October 2021 by former Prime Minister Jean Castex, namely the inflation allowance of 100 euros. However, this device was less targeted than the new aid announced on Wednesday, since it affected 38 million French people, at a cost of 3.8 billion euros.
Source: BFM TV
