From zero VAT to fuel tax exemptions, Carneiro's proposals to address the rising cost of living

Friday, 27 March 2026RSS
From zero VAT to fuel tax exemptions, Carneiro's proposals to address the rising cost of living

PS secretary-general José Luís Carneiro has proposed a series of tax relief measures, including zero VAT on essential food and a reduction to 13% on fuel, to combat the rising cost of living and mitigate the economic impacts of ongoing global conflicts.

Context & Explainers

Inflation measures how much general prices rise over time, usually reported year‑on‑year to compare a month with the same month a year earlier. Portugal’s National Institute of Statistics (INE) estimated January inflation at 1.9% year‑on‑year, down 0.3 percentage points from December, which affects rents, wages and everyday purchasing power for residents.

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