Pump Prices Plunge In Spain

Liam Bradford March 22, 2026 What's On Comments Off on Pump Prices Plunge In Spain

Pump Prices Plunge In Spain. The Spanish government has cut IVA on fuel from 21% to 10% saving motorists around €20 on a full tank.

The Spanish governent has announced a €5 billion aid package The war in Iran has caused energy prices to rise. The tax on fuel will be reduced from 21% down to 10%. (Saturday 21st March). This will save motorists around €20 on a full tank of fuel. Transport businesses and the agricultural sector also receive a direct subsidy of 20c per litre.

Electricity and gas are also included in the reduction of IVA tax. Butane gas will have the price capped at €16.35 for the 12.5kg bottles.

The order also contains measures to protect householders Energy costs are on the rise. The water and electricity supply companies cannot cut off the supplies for homes that are unable make full payments.

Spain has capped the price of bottles of butane.

Save Money on Energy

This is the Social Shield. Our top tips to make the most of tax incentives and cuts:

⛽ 1. Petrol Pump: the 30-Cent Drop

The IVA for petrol and diesel has been officially reduced from From 21% to 10%.

The Savings: It reduces the cost by about 10% 30 cents per litre.
Top Tip The cost of filling a 55 litre tank is now about €16 to €20 less It is more than yesterday. Fuel up today if you have been holding off for a long journey.

💡 2. Electric Bill Tax Slash of 60%

The government has not only reduced IVA on electricty to 10% but they have also suspended the generation tax at 7%, and cut the Special Electricity Tax down to a minimum.

The Savings: Taxes on your bill have fallen by around 60%.
Top Tip It is a good time to see if you are eligible for the Bono Social. The discount given to “vulnerable families” was increased from 42.5%It’s “severely vulnerable” now 57.5%.

🍊 3. Butane Bottle Caps in the Kitchen

The standard orange butane 12.5kg bottle has been officially capped. €16.35.

The Savings: This prevents the price from hitting the feared €20 mark during the current energy spike.
Top Tip Stick to your guns Traditional orange bottles. Some petrol stations sell “lightweight” or silver bottles. It is not clear how to get there. price-regulated and will likely still cost you €20 or more.