French Opposition Unveil Divergent Alternative Budgets Centered on Tax and Spending Reforms

On October 23, 2025, key opposition parties in France presented alternative budgets ahead of the government's 2026 budget session. Marine Le Pen, leader of the National Rally (RN), revealed a radical 'contre-budget' proposing €36 billion in savings compared to the government's plan. Her party aims to cut public spending by €57 billion and reduce state revenue by €31 billion to enable €45 billion in tax cuts. This budget notably disregards constitutional and legal constraints, reflecting a bold political stance amid deteriorating public finances, according to Le Monde (113508) and Le Figaro (113463).

Meanwhile, left-leaning groups and the Socialist Party focus their proposals on increasing taxation, particularly targeting the wealthiest citizens. The Socialists stress 'fiscal justice,' while other left groups advocate for directly 'taxing the rich.' To address these demands, the government is proposing an increase in taxation on high earners by about €2.5 billion through extending the Differential Contribution on High Incomes (CDHR) until 2026, which affects individuals earning over €250,000, and introducing a new tax on holdings perceived to be sheltering capital income. This was reported by Le Figaro (113462).

These partisan budgets highlight the sharp divide in fiscal strategy: the RN's radical spending cuts and tax reductions contrast with left-wing pushes for increased wealth taxation. Le Pen emphasized the political nature of budget decisions over pure numbers, underscoring these alternative budgets as reflections of ideological choices. The government's upcoming budget debate in the National Assembly will weigh these competing visions amid ongoing fiscal challenges.