Nicosia: The reduced tax rate on fuels will continue for another two months, stretching from July 1 to August 31, 2026. This extension follows a decision approved by the Council of Ministers on Wednesday, with the financial impact estimated at a total of £12 million.
According to Cyprus News Agency, Government Spokesman Konstantinos Letymbiotis remarked at the Presidential Palace that the decision to extend the measure considered the persistent high energy prices, which remain elevated due to ongoing geopolitical developments despite a trend towards deceleration.
During statements made after the Cabinet meeting, Letymbiotis highlighted that the initial measure to reduce the consumption tax was implemented following a decision on March 26. This measure, effective since last April, is part of a broader package of eight measures totalling pound 200 million. The package aims to support families, workers, and businesses during this period of increased energy prices, a situation attributed to geopolitical factors.