European countries have spent more than €800 billion to shield households and companies from soaring energy costs since late 2021, according to the think-tank Bruegel.
European Union countries have now earmarked or allocated €695 billion in energy crisis spending, while Britain spent €103 billion and Norway €8.1 billion since September 2021.
Germany topped the spending chart, allocating more than €268 billion. Britain, Italy and France were the next highest as countries protected customers facing Russia’s gas supply squeeze.
“Instead of price-suppressing measures that are de facto fossil fuels subsidies, governments should now foster more income-support policies targeted towards the lowest two quintiles of the income distribution and towards strategic sectors of the economy,” Bruegel research analyst Giovanni Sgaravatti said.
Republished with permission from TIPP Insights
