US-Iran War Has Cost EU Over €100 Billion, Says Spanish PM

Spain’s prime minister says the energy crisis caused by the US-Iran conflict has cost the EU more than €100 billion, warning of major consequences for public finances and household budgets.

Spain’s prime minister says the energy crisis caused by the US-Iran conflict has cost the EU more than €100 billion, warning of major consequences for public finances and household budgets.
Pedro Sánchez urged parliamentary groups to vote in favour of validating a royal decree containing aid measures aimed at reducing the impact of the energy crisis caused by the Iran war.
Sánchez has previously described the war as illegal, unjust and unjustifiable.
The Spanish prime minister said the conflict, which he said was initiated by the United States and Israel, resulted from an unjustifiable, mistaken and illegal decision.
He said the amount already spent was equivalent to Europe’s annual expenditure on the Common Agricultural Policy.
Speaking to reporters on Thursday as he arrived at a European Council meeting in Brussels, Sánchez said the war had had major consequences for public finances and for citizens’ pockets.
He said Spain had allocated more resources than any other country to support businesses, households and sectors particularly affected by the crisis.
Sánchez said Spain had allocated €12 billion since the start of this year, much of it in response to rising fuel prices.
He said he was confident that once the crisis ended, growth capacity would increase again, and economic activity would quickly return to levels seen before the energy shock.
The Spanish prime minister also urged parliamentary groups to put ideological issues aside and vote in favour of approving the decree in the Congress of Deputies’ Permanent Deputation.
The decree includes measures such as extending tax reductions on petrol and diesel until 31 December, as well as limiting the regulated gas tariff and the price of butane gas cylinders.
The package also retains a support mechanism allowing electricity taxes to be reduced if inflation rises above a specified level.
Other measures include increasing natural gas reserves for the winter and continuing assistance for the agricultural sector and road transport.