France unveils €710 million fuel aid package, doubles employer bonus to €600
Prime Minister Sébastien Lecornu announced a €710 million fuel aid package on Thursday, May 21, doubling the ceiling on the tax-free employer 'fuel bonus' from €300 to €600 and extending the €50 'high-mileage' allowance for three more months. The measures aim to adapt support as the government warns the Middle East conflict will persist, with a return to normal not expected before summer or autumn at best.
Prime Minister Sébastien Lecornu announced a €710 million fuel aid package at a press conference on Thursday, May 21, doubling the ceiling on the tax-free employer-paid 'fuel bonus' (prime carburant) from €300 to €600 and extending the €50 'high-mileage' allowance for three more months.
Lecornu warned that the Middle East conflict will persist, with a return to normal not expected before summer or autumn at best. "This war, one way or another, will last," he said, adding that the government's previous month-by-month strategy is over and it must "start to give a perspective." He stated: "We refuse any general indiscriminate tax cut."
The ceiling on the employer-paid fuel bonus is doubled from €300 to €600, with simplified access conditions. Energy Minister Maud Bregeon said the €50 'high-mileage' allowance (indemnité carburant) for low-income workers will be extended for three months (June to August) and will increase from €50 to €100. "It's an aid that will continue to target 3 million French people," she said. The application window opens on May 27.
Public Accounts Minister David Amiel announced increased mileage reimbursement for public-sector workers, equivalent to about €0.20 per liter, from June 1 to December 31, with no additional paperwork required. Health Minister Stéphanie Rist announced a permanent increase in mileage allowances for home-help workers and a rise in minimum pay.
Support for fishermen is renewed at €0.30 to €0.35 per liter of diesel for three months. Support for farmers is renewed at €0.15 per liter of GNR (non-road diesel) for three months. Economy Minister Roland Lescure said the government will help farmers with fertilizer costs, stating: "We wish to help them on fertilizer purchases. It's technical, but we will help them get through short-term cost overruns."
Transport Minister Philippe Tabarot said about 2,000 applications had been filed since May 12 for a flat-rate aid scheme for transport companies, which is being renewed for three months. He announced a specific ecological bonus of up to €5,500 for taxi drivers buying an electric vehicle, starting October 1 for at least three months.
Bregeon also reassured on fuel station availability, saying that after the previous weekend, 5% of stations had at least one fuel difficulty, and described the situation as "near normal."