Prime Minister Sébastien Lecornu announced on Thursday 21 May reinforced support for households and sectors hit by surging oil prices. The measures stay targeted and temporary, without a return to broad public spending.
Sébastien Lecornu presented the announcements during a press conference at the Hôtel de Matignon. Sectoral aids for fishing, agriculture, road transport and construction are extended until the end of August, with an extension to inland waterway transport and a higher employee threshold for construction firms.
Aid for modest high-mileage workers doubles to 100 euros and the employer fuel prime rises from 300 to 600 euros per year from June, without the previous condition of no public transport alternative. New beneficiaries such as home care workers and certain civil servants receive increased mileage allowances.
The government rejects any broad tax cuts. The cost of the measures from June to August is estimated at 700 million euros. The IMF has stressed the need for a limited and temporary response to safeguard public finances.
