Political Discourse Intensifies Around Éric Lombard's 2026 Budget Presentation
Éric Lombard's presentation of the 2026 budget has ignited political controversy and concerns over France's economic direction.
Key Points
- • Éric Lombard presented the 2026 budget, focusing on stability for businesses.
- • Opposition parties criticized the budget as austere and requested a change in government dynamics.
- • Public debt in France is growing rapidly, with spending projected to increase significantly by 2026.
- • Economist Marc Touati warns of an impending economic crisis if measures are not taken to reform fiscal policy.
On July 17, 2025, Éric Lombard, the French Minister of the Economy and Finance, presented the details of the 2026 budget, which has sparked significant political debate ahead of its submission to the Council of Ministers scheduled for October 1. Lombard emphasized the importance of ensuring stability for businesses in his presentation, stating, "our door is open" for discussions, highlighting the government's intention to engage with various stakeholders about the budget proposals.
However, this presentation has drawn harsh criticism from opposition members, who argue that the budget reflects an austerity approach detrimental to the economy. Jean-Philippe Tanguy, a deputy from the National Rally (RN), articulated concerns over government reforms, claiming that the "macronist state is incapable of reforming itself." He has called for a shift in the power dynamics between the government and the opposition to prevent what he views as harmful economic policies.
Additional dissent came from Aurélie Trouvé of La France Insoumise, who echoed concerns that the budget could jeopardize the country's economic health. The opposition's remarks signal a growing discontent with the government's fiscal strategy, leading to a contentious atmosphere in upcoming parliamentary discussions.
In a broader context, economic experts are sounding alarms regarding the state of France's public finances. Economist Marc Touati criticized recent government fiscal measures as inadequate, noting that France's public debt is increasing at an alarming rate of €5,000 per second. He reported that the government's projected public spending for 2026 will reach €1,722 billion, a rise of €29 billion from the previous year, while public expenses have grown by 21% since 2021.
Touati is proposing a drastic 'benevolent shock therapy' involving significant tax cuts and public spending reductions to avert a major economic crisis anticipated in September. He believes these strategies could effectively reduce the public deficit by €80 billion.