High energy prices
Cabinet approves relief package for citizens
Energy prices have risen sharply in this country because of the Ukraine war. The government is therefore reducing, among other things, the energy tax, increasing child benefit and introducing a one-off public transport discount.
Due to the sharp rise in energy prices, the federal cabinet has decided on a relief package worth billions for citizens. Among other things, the energy tax on fuel is to be reduced for a limited period of three months.
Employed persons who are subject to income tax are to receive a one-time lump sum of 300 euros gross to compensate for the high energy costs. The child benefit is to be increased once by 100 euros per child. From June, a 9-euro monthly ticket for local and regional transport will also be valid nationwide for three months.
The heads of the coalition of SPD, Greens and FDP agreed on this relief package at the end of March. A first package had already been decided in February, which, among other things, provides for the abolition of the EEG levy on the electricity bill from July. Next, the Bundestag advises on the plans.