François Bayrou's 2026 Budget Plan Faces Backlash Amid Promised Reforms
François Bayrou's 2026 budget plan, promising €43.8 billion in savings, faces fierce opposition and criticism.
Key Points
- • Bayrou proposes €43.8 billion in savings to address France's deficit.
- • Opposition criticizes budget cuts and potential elimination of public holidays.
- • Manuel Bompard claims the plan harms the poorest segments of society.
- • Budget discussions to continue in parliamentary sessions this autumn.
On July 15, 2025, Prime Minister François Bayrou unveiled his budget orientations for 2026 in a bid to achieve €43.8 billion in savings, reiterating the necessity for substantial financial reforms to address France's chronic deficit issue. He labeled France’s ongoing deficit, which has persisted for 50 years, a 'curse' and warned that without critical adjustments, public debt repayment could rise to €100 billion by 2029, potentially becoming the largest item in the national budget. As part of his proposed plan, Bayrou initiated a four-year 'Stop to Debt,' which aims to reduce the deficit from 5.4% in 2025 to 2.8% by 2029.
Key components of the budget include cutting 3,000 public sector jobs and implementing a policy of non-replacement for one out of three civil servants who retire. Bayrou has also declared that 2026 would be an 'année blanche,' meaning no increases in social benefits or tax thresholds, a decision he insists is necessary to stabilize the economy. Furthermore, to protect local businesses, he proposed a new tax on small parcels, and has suggested the elimination of two public holidays—Easter Monday and May 8—to increase productivity and workdays.
However, these proposals have faced significant criticism from various opposition parties. Key figures, such as Manuel Bompard from La France Insoumise, have condemned the budget plan, claiming it will disproportionately harm the poorest citizens and escalate economic hardships. Bompard asserted that these austerity measures will contribute to rising poverty levels. Other opposition voices, including parties like the Socialist Party and National Rally, have threatened to censure the government unless concessions are made regarding the proposed cuts and taxes on the wealthy, amidst a freeze on state budgets across most ministries except for the military.
Bayrou has defended his strategies, stating these drastic measures are essential for the sake of future generations. He emphasized the importance of efficiency in public spending and structural reforms to ensure sustainability in the nation’s finances. The budget discussions are set to intensify in the upcoming parliamentary sessions this autumn, as the government grapples with the implications of its controversial proposals and the growing discontent from the opposition.