Refueling: Reduce taxes or cap prices? Federal government gets stuck on fuel price relief
The coalition wants to pass a relief package before the weekend's elections. Three different proposals are on the table. Trouble is looming from Brussels.
The German government has announced plans to intervene in fuel prices, a reversal of their previous stance. Chancellor Friedrich Merz made the announcement at an event in Berlin, amid rising fuel costs and pressure from conflicts in the Middle East. Fuel prices in Germany have reached record highs, just before important elections in Mecklenburg-Vorpommern and Berlin.
The government is considering different proposals, including a reduction in value-added tax on fuel, proposed by CDU's Thorsten Frei and Katherina Reiche, and a price cap and windfall tax on oil companies, favoured by the SPD.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.