Poland Fuel Prices Jump 14% as 23% VAT Returns After Relief Ends
Updated
Updated · Notes From Poland · Jul 1
Poland Fuel Prices Jump 14% as 23% VAT Returns After Relief Ends
3 articles · Updated · Notes From Poland · Jul 1
Summary
Around 0.80-0.86 zloty per litre was added to petrol and diesel prices at some Polish stations on Wednesday after reduced fuel VAT and a retail price cap expired on June 30.
The jump followed the restoration of the standard 23% VAT rate from 8%; analysts and Finance Minister Andrzej Domański had expected a smaller average rise of 0.30-0.50 zloty per litre.
Dziennik.pl reported petrol at 6.79-6.82 zloty per litre and diesel at 6.97-7.05 zloty, with E-petrol, Polsat News and Business Insider Polska all citing similar increases.
The relief package was introduced after the Iran war disrupted shipping through the Strait of Hormuz, then phased out as oil prices eased following a US-Iran deal to reopen the waterway.
4.7 billion zloty is the total cost the finance ministry now puts on the measures, while a proposed one-off windfall tax on fuel companies is expected to raise about 4 billion zloty.