Fuel tax rises which had led to weeks of violent protests in France have been suspended for six months. Prime Minister Edouard Philippe said that people’s anger must be heard, and the measures will not be applied until there have been proper debate with those affected.
It is not clear how the government will find the revenue it was anticipating from these measures, but Finance Minister Bruno Le Maire aid the suspension will not put its budget commitments in jeopardy.
The “yellow vest” demonstrations were first triggered weeks ago by planned fuel price hikes. Mr Macron says his motivation for the increase is environmental, but protesters accuse him of failing to recognize the rising cost of living that has left many people struggling.