The government extends fuel aid until the end of 2026 in the face of rising prices

Sébastien Lecornu asked his ministers to “extend” until December 31 targeted aid schemes for sectors affected by the surge in fuel prices, his entourage reported on Wednesday. “The objective is to preserve economic activity, employment and growth, by giving visibility to businesses,” according to the same source. The rise in prices at the pump has provoked calls for demonstrations evoking the Yellow Vest movement, as well as the blocking of oil depots by fishermen in the Mediterranean. For fishermen, who have carried out several blocking actions in recent days, the aid will be increased from 25 to 35 cents per liter.

“After its downward adjustment this summer, due to the drop in prices this summer”, aid to fishermen “will thus return to its maximum level authorized by the European Commission to allow vessels to continue to go out to sea”, explained the Prime Minister's services. For eligible construction companies, support will be “extended to the tune of 20 cents” per liter of non-road diesel, and for farmers, aid of 15 cents per liter will also be extended. Aid to farmers on fuel will come “in addition to other aid from the agricultural emergency plan”, it is specified. The government is “not closing the door to new aid measures” “because this situation is becoming more and more difficult, and particularly in recent weeks”, indicated government spokesperson Maud Bregeon, following the Council of Ministers.

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A “new shock” on energy prices

At this same Council of Ministers, President Emmanuel Macron asked his government for its “total mobilization” on “supply” and “control of prices” of fuels, according to Maud Bregeon. She had mentioned work “on the possibility of having more flexibility in regulations at European level”, in particular to “make the system a little more flexible” concerning refineries. Because around 10% of service stations have difficulty supplying “at least one fuel”, the “vast majority” of which belong to the TotalEnergies network, which capped its prices, according to the spokesperson. Given in particular this “new shock” on energy prices, Sébastien Lecornu asked his ministers on Tuesday for additional effort on state spending in 2027.

Fuel aid complicates the preparation of the budget, already weighed down by a heavy deficit while debt interest rates are climbing. The draft budget for 2027 will be on the menu at a government seminar on Thursday in Matignon. The presidential candidates are competing with each other on proposals on fuels or, more broadly, purchasing power. The latest, Édouard Philippe on Wednesday requested a “doubling” of targeted aid, which would be financed by “savings on state expenditure”. Seven out of ten French people expect a deterioration in their purchasing power, according to an Elabe survey for BFMTV published on Wednesday, which shows that more than a third of them (36%) trust Marine Le Pen to improve their situation, ahead of Bruno Retailleau (23%), closely followed on the subject by Édouard Philippe (22%).