Prices in Gipuzkoa: End to the reduction in gasoline, products without VAT and new discounts on tolls

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Drivers filling up the tank in the last days of the state fuel discount. / Arizmendi

Prices register a small revolution at the beginning of 2023. Most of them, modified by sales to deal with inflation

The pockets of Gipuzkoans continue to suffer the ravages of high inflation and the effects of the war in Ukraine. The CPI rose above 10% well into 2022, although it finally closed at 5.8%. Despite this decrease, the price of the shopping basket or energy are still much higher than a year ago. For this reason, the different institutions will continue to combat this rise in prices with different relief measures for families.

From this Sunday, January 1, the measures of the third anti-crisis plan to deal with the effects of the war in Ukraine, announced last Tuesday by the Government of Pedro Sánchez, come into force. A package of measures endowed with 10,000 million euros, which extends to 45,000 million everything disbursed to minimize the cost of the energy crisis in the pocket of the Spaniards. And that it will have an effect, above all, on food, with VAT reductions and checks for families with fewer resources. In addition, the reduction in prices for public transport is maintained, which the local administrations also compensate. Of course, the discount of 20 cents per liter of fuel disappears.

At the local level, the tolls in Gipuzkoa also register changes in both prices and discounts. Locally owned public transport continues with its 50% discount on the MUGI and the Basque Government also prepares its own check for food. These are the price changes for the year that has just started:

VAT on food

One of the great concerns of households in recent months has been to observe how the increase in energy prices has transferred to food, with sharp rises that now exceed 15%. To alleviate this, a VAT reduction has been established from January to June, months in which this tax will be eliminated from basic necessities, taxed at 4%. Among them, bread, flour, milk, cheese, eggs, fruits, vegetables, legumes, potatoes and cereals. And the oil and pasta are reduced from 10% to 5%. Other products taxed at 10% such as fish or meat are not included in the plan. This reduction will be automatically eliminated if underlying inflation –which excludes unprocessed food and energy products– falls below 5.5%. It currently moves at 6.3%.

200 euro check

The decree also includes an aid check of 200 euros for the 4.2 million families that the Government estimates earn less than 27,000 euros and have assets of less than 75,000 euros.

The Basque Government has also announced a new aid for the purchase of food. Another bonus that will be compatible with state aid and with an amount of between 150 and 300 euros.

The legal retirement age rises to 66 years and 4 months from today

living place

The 2% limit to the increase in rental prices in the annual update is renewed until December 31, 2023, when the contracts are linked to the CPI. In addition, an extraordinary extension of six months is enabled for rentals that end before June 30, 2023, to prevent landlords from triggering the price in their new contracts. In addition, several measures promoted in the latest royal decree-laws within the so-called “social shield” are also extended until June 30, such as the prohibition of evictions or the launching of homes for vulnerable families.

Goodbye to 20 cents gasoline

As of this Sunday, the universal bonus of 20 cents per liter of fuel is eliminated, leaving individuals out. State aid will be limited to the sectors most affected by the crisis, such as transporters, farmers, shipping companies and fishermen. As detailed by the Ministry of Transport, the bonus for carriers will be divided into two phases: the first contemplates a discount of 20 cents per liter consumed between January 1 and March 31, and the second of 10 cents between 1 April and June 30. This aid will be paid at the end of each month. In the case of farmers, it will be done by refunding the special hydrocarbons tax.

Of course, the oil companies themselves such as Repsol or Cepsa have announced that they will still maintain the discounts of more than 10 cents per liter that they had implemented together with the state discount plan. A contribution that private users will surely appreciate.

Discount public transport

Aid for public transport is maintained. Specifically, the Government has approved extending the 30% subsidies for the metro and the bus, although only for those autonomous communities that contribute additionally until reaching at least a 50% discount, as is the case of Euskadi. In Gipuzkoa, MUGI routes will continue to have this 50% discount.

The gratuity of the Cercanías and Media Distancia tickets is also extended and those of the state bus lines will also be included in this gratuity. In Gipuzkoa, there are four lines of these long-distance buses that will benefit

extended measures

The new plan contemplates the extension for six months of other measures such as the extension of the social bonus, the 15% increase in the minimum vital income and non-contributory pensions, as well as the tax reductions in the energy bill for which, among other , VAT on the receipt has been reduced from 21% to the current 5%.

New toll discounts

The tolls in Gipuzkoa (AP-1, AP-8 and A-636) register a price update starting today with a 2.25% increase, also in the maximum rate of the Abiatu discount device, which rises to 35 €24. Of course, the Gipuzkoa Provincial Council is implementing new discounts for users of the territory’s motorways as of today. Among these novelties, is, for example, the incorporation of a discount for passenger cars, motorcycles and vans of 0.55 euros per transit for round trips on the day paid with electronic toll in the cabins between Behobia and Zarautz. Here are the rest of the news.

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