UPDATE 1-French PM rules out broad tax cuts on fuels amid tight budget constraints

"We refuse any general, indiscriminate reduction of fuel taxes." Instead, the government was extending targeted ‌measures and scaling up incentives to cushion the impact on specific groups, he said. Lecornu also said France should bet on one of its main competitive advantages - a fleet of nuclear reactors producing more than two-thirds of its electricity - and accelerate the electrification of the heating ⁠and ​transport sectors.

​France will continue to offer only limited relief ​to consumers hit by high fuel ‌prices, ​Prime Minister Sebastien Lecornu said on Thursday, announcing €710 million ($823 million) in additional support and urging a switch to electric cars. Paris has resisted cutting fuel taxes — unlike ‌several other European countries — even as the closure of the Strait of Hormuz has pushed oil prices above $100 a barrel, citing constraints from one of the euro zone’s highest budget deficits.

"We're not going to change our strategy," ‌Lecornu told a press conference. "We refuse any general, indiscriminate reduction of fuel taxes." Instead, the government was extending targeted ‌measures and scaling up incentives to cushion the impact on specific groups, he said.

Lecornu also said France should bet on one of its main competitive advantages - a fleet of nuclear reactors producing more than two-thirds of its electricity - and accelerate the electrification of the heating ⁠and ​transport sectors. "The shift to electrification ⁠is happening, whether we like it or not. Did we start too late? No, it's already underway, thankfully. Do we need to ⁠move faster? We already are," he said.

Support schemes already in place for sectors such as fishing and farming will ​be prolonged by three months, while taxi drivers will benefit from a new bonus to help ⁠finance electric vehicle purchases. Companies will also be allowed to double a tax-free bonus for employees who drive to work, raising the maximum to €600.

Lecornu ⁠said ​the government's most optimistic scenario envisaged a return to more normal conditions by the autumn, though he stressed that far more pessimistic outcomes were also under consideration given the high level of uncertainty. Budget Minister ⁠David Amiel said the new package would bring total spending to help households cope with higher fuel costs ⁠to nearly €1.2 billion. He added that ⁠the government would offset the cost through savings elsewhere and would update its budget targets by the end of June. ($1 = 0.8630 euros)