Germany approves fuel tax discount

‌Germany approved ​on Friday a gasoline tax discount, which will cost federal ‌and state governments €2.5 billion ($2.85 billion).

The lower house of parliament approved the law, and the upper house raised no ‌objections, meaning the law can be implemented. The government ‌will cut taxes on gasoline and diesel by €0.17 ($0.20) per litre from October until the end of December to ⁠help ​citizens deal ⁠with fuel prices sent soaring by the Iran war.

As the ⁠Middle East conflict shows no signs of easing, Chancellor ​Friedrich Merz's governing coalition has been forced to ⁠revive relief measures for consumers and companies after temporary moves ⁠earlier ​this year, trying to contain public discontent and the rise of the far-right. Germany ⁠already had a fuel tax discount for May and ⁠June that ⁠cost €1.6 billion, temporarily easing inflation.

($1 = 0.8777 euros)