Manos Konsolas, MP for Dodecanese and Chairman of the Parliamentary Committee on Regions, stated that the Prime Minister’s announcement on reinstating reduced VAT rates for islands with fewer than 20,000 inhabitants is a major first step. He emphasized that reduced VAT is not just a tax measure, but primarily a development policy.
He referred to his long-standing advocacy since 2019 and the formal recognition by the EU (via the Ecofin Council) of Greece’s right to apply reduced VAT rates permanently to Aegean islands. This issue had also been highlighted in relevant parliamentary and European regional discussions.
Konsolas pointed out that the measure is already applied to some islands due to migration pressures, and will now include smaller islands as well. He stressed that Rhodes, though currently excluded, should be included in the future once fiscal space allows—since it supplies many of the smaller islands.
He concluded by calling for super-reduced or zero VAT rates on ferry and air tickets, as these services meet essential needs in island regions.
