Five European Union finance ministers are calling for a tax on the windfall profits of energy companies as oil and gas prices surge. The push comes amid rising inflation fears and follows recent escalations involving Iran, with prices spiking since late February.
Italy, Germany, Spain, Portugal and Austria are urging the EU to implement a bloc-wide tax on energy surplus profits. Ministers believe such a measure could provide relief for consumers burdened by increasing energy costs.
Driven by higher oil prices, annual inflation in the Eurozone rose to 2.5% in March, up from 1.9% in February. The ministers have asked the European Commission to quickly develop a contribution instrument to address market distortions and fiscal constraints.