Germany has announced a €200bn “protective shield” for businesses and consumers struggling with soaring energy costs, the largest aid package adopted by a European government since the start of the energy crisis.
The centrepiece of the plan, financed by new borrowing, is an emergency cap on gas and electricity prices that have soared since Russia first slashed its gas exports to Europe over the summer.
“Prices must go down,” chancellor Olaf Scholz said on Thursday. “That is our firm conviction and the government will do everything it can to ensure that happens.” He described the package as a “double ka-boom” that would help everyone from pensioners to big industrial companies pay their energy bills.
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