The Government announces a drop in VAT on gas from 21% to 5% from October

The Government has decided to undertake a reduction in VAT on gas from the current 21% to 5% to ensure that citizens see the amount to be paid on their bill reduced during this coming winter, which comes with great economic “uncertainty” under the arm. This has been announced by the President of the Government, Pedro Sánchez, who has advanced that this measure will be launched in October and that it will be in force until December, although he has opened up to extending an idea that he already proposed yesterday for a few more months the Popular Party itself and which was rejected by the government spokesperson herself, Isabel Rodríguez, as it was not described as “priority”. “Those who make this type of proposals, which I have also been able to read them this morning, I would tell them to listen carefully to what the priorities are in the world and in Europe,” he said. “The Government of Spain is going to propose a reduction in VAT on gas from 21 to five percent”, Sánchez launched in a radio interview with Cadena SER. In this sense, he has highlighted that this action “is in line with the economic policy” of the Executive, which is based on “selective tax rebates for the benefit of the working middle class” that has been estimated at up to 80%. Although he has not detailed figures on how much money taxpayers will save, he has assured that this void will be filled with taxes on banks and electricity companies with which the Government will tax their high profits.🔴 The President of the Government, Pedro Sánchez, responds to Àngels Barceló’s questions from Moncloa 📹 You can see the full interview here https://t.co/qubaiN3Pwn— Hoy por Hoy (@HoyPorHoy) September 1, 2022 Along the same lines, Sánchez has boasted about the exception mechanism Iberian gas, which has contained up to 15% the price of gas since it came into force. Always according to his calculations, this has meant a “saving” of 1,300 million on the bill. Thus, he has contrasted his model with that of the Popular Party, with whom he has been very critical when pointing out that his program “is the same” as that of the “big energy companies”. “What has happened when the Government has raised taxes or the Iberian mechanism? That his position has been the same, it is no coincidence, ”he has riveted. All in all, it should be noted that the reduction of VAT on gas to 5% is a proposal previously launched by the PP. Without going any further, his spokesperson in the Senate, Javier Maroto, requested it again yesterday. In this sense, the Basque politician assured that the president of his party, Alberto Núñez Feijóo, would propose this measure in the debate that will be held next Tuesday by the president and leader of the opposition in the Senate. Maroto said he trusted Sánchez’s policy of “lurches and contradictions” so that, as has finally happened, he ended up accepting the lowering of VAT on gas, which in Spain “is the highest of the large countries of the Union.” “Sánchez keeps the gas at the maximum that our country allows in that obsession to collect,” he added. Regarding said debate with his opponent, Sánchez has assured that they must “compare positions, learn and explain the position of each one.” Thus, he has come to accuse the PP of being “a docile opposition with the interests they represent”, continuing with the line that he began to unfold after the debacle in the Andalusian elections that the large corporations are against him. “We are a very uncomfortable and annoying government for a series of hidden powers in our country that have dark interests. They want to return to an old order,” he said in his last interview on Cadena SER a few months ago. Asked why he has not called the opposition leader, with whom the relationship is distant, the socialist president recalled that when he arrived the Galician to the leadership of the PP proposed 11 agreements, but that “neither Casado nor Feijóo” have provided him with “help”. “I have the telephone open for all political leaders”, he has launched.