Moscovici Rejects Temporary Freeze in 2026 Budget Strategy Amid Calls for Reform
Moscovici criticizes the idea of a budget freeze for 2026, advocating for structural reforms instead.
Key Points
- • Moscovici opposes a 'blank year' for the 2026 budget, advocating instead for long-term reforms.
- • The government intends to save 40 billion euros by 2026.
- • Public spending in France is currently the highest in Europe at 57% of GDP.
- • Eric Lombard discussed economic issues in a recent political talk show.
Pierre Moscovici, the first president of France's Cour des comptes, has firmly denounced the concept of a 'blank year' for the 2026 budget, calling instead for substantive structural reforms. In an interview on June 8, 2025, he emphasized that the French government must focus on long-term fiscal responsibility rather than temporary budget freezes. Moscovici stated, "It's not in 2026 that we should make efforts; it's from 2026 to 2030 at least," underscoring the need for a comprehensive approach to public spending, currently pegged at 57% of GDP— the highest in Europe.
The government, led by Prime Minister François Bayrou, is expected to unveil its budget strategy by July 14, with ambitious savings targets of 40 billion euros. Moscovici pointed out that a one-time budget cut would lack sustainability and instead proposed gradual reductions in public spending to around 54-55% of GDP, which could ease fiscal pressures without resorting to austerity that would compromise essential public services.
Alongside Moscovici's comments, Eric Lombard, Minister of Economy, Finance and Industrial and Digital Sovereignty, participated in a political talk show on the same day, discussing various pressing economic and governance issues in France. While specific details from Lombard's appearance weren't specified in regards to the budget, the ongoing dialogues reflect a broader context in which the fiscal health of France is being scrutinized amidst calls for accountability across public institutions.
The discussions lead to a complex dialogue about the expected reforms and measures necessary to balance the budget while ensuring necessary public services remain intact. With high public spending dominating the narrative, key figures like Moscovici and Lombard are navigating tough discussions that will ultimately shape France's economic future.
As the government prepares to announce the budget strategy, the outcomes and proposed measures will likely set the stage for politically contentious debates leading up to the 2026 budget implementation.