Spain's caretaker government seeks to prolong anti-crisis aid package

Spain's permanent parliamentary chamber is expected to endorse an extension of the anti-crisis shield on Friday, keeping tax relief on energy and subsidies for fuel, transport, agriculture and fishing active until 31 December. Prime Minister Pedro Sánchez appealed for broad parliamentary support, while Deputy Prime Minister Carlos Cuerpo noted that two quarterly extensions have already been implemented and additional ones are possible, though he did not specify which measures might be prolonged.

The fuel discount of 20 cents per litre will stay in effect throughout November; if the safeguard clause is not re-activated, the discount could fall to eight cents in December and cease entirely on 1 January. Any further extension would have to be justified as urgent, given the caretaker government’s limited powers before the 29 November elections. The government also plans to monitor food-price pressures and examine energy-sector profits, with a possible EU-level tax on windfall gains under discussion.