Overview
- On Monday the minister of public accounts David Amiel said fuel‑related tax receipts fell by more than €80 million in the first half of 2026 compared with the same period in 2025.
- Retail diesel jumped from about €1.72 per litre at the end of February to almost €2.40 at the crisis peak, which raised the price paid per litre but did not raise total tax revenue because fewer litres were sold.
- The economy minister reported a roughly 14% drop in fuel consumption for 1–20 May year‑on‑year as drivers cut trips, carpooled and teleworked, and those lower volumes drove the revenue shortfall.
- A mid‑June agreement between the United States and Iran eased crude toward about $70–72 a barrel and helped push pump prices down to roughly 10% above pre‑crisis levels, but ministers say that rebound did not create a windfall for the state.
- The government has rolled out targeted aid for heavy users and road transport while rejecting broad VAT cuts after experts warned that EU rules prevent cutting fuel VAT below roughly 15%, limiting wider tax relief options.