The number of countries cutting energy taxes in response to the Iran war has doubled over the past month despite IMF calls for fiscal restraint, new data shows.
European governments have driven the sharp rise in untargeted energy support, according to FT analysis of the IEA’s policy tracker, accounting for 19 of the 39 economies that have lowered energy taxes in response to surging oil and gas prices.
The figures underscore warnings from the EU and the IMF about the need for fiscal discipline through “targeted and temporary” measures, given what the IMF calls “stretched” public finances.
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