Prices at the pump have been swinging for a long time. For people who need their car for work without a fuel card – think of home nurses, cleaning assistants or people with commercial functions – these increases have a serious impact on purchasing power, said Minister of Finance Vincent Van Peteghem after the cabinet meeting. “They are hit twice by the high prices.” He recalled that last year the price was 1.5 euros per liter. Now that is 2.4 euros per litre.
That is why the government is taking three measures to dampen the shock. She had set aside an amount of 30 million euros for this. This is how she conducts the indexation of the fixed expense allowance for shifts already through. This usually happens in July. And the indexing will also apply retroactively until March. In addition, the indexing now four times a year to happen. This should help to compensate for price increases more quickly.
It is also the intention that employers are encouraged to go as close as possible to the maximum amount with their compensation, or even exceed it, explained Minister of Employment Pierre-Yves Dermagne (PS). The government provides a tax incentive that increases the closer the compensation gets to that maximum. If an employer gives 20 cents per kilometer today and raises that to the maximum (40 cents), then that means an extra 6 euros for the employee for two trips of 15 kilometers, Van Peteghem calculated.