Temporary ISP relief cost the State 604 million euros in 2025

Friday, 13 March 2026RSS
Temporary ISP relief cost the State 604 million euros in 2025

The temporary relief on the ISP (petroleum products tax) cost 604 million euros in 2025, according to estimates from the Technical Budget Support Unit (UTAO), which is calling for greater transparency regarding the impact of maintaining this measure. The UTAO report on 2025 public accounting budget execution highlights that the inflation relief package worsened the overall balance by 1.106 billion euros, with the ISP tax relief being the largest burden. The government has begun a gradual phase-out of the measure, though the UTAO criticizes the lack of detailed impact data for 2025 and 2026. Meanwhile, the government announced new extraordinary tax cuts for the coming week, expected to save consumers 1.8 cents per litre on diesel and 3.3 cents on petrol.

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