Sébastien Lecornu Highlights Economic Costs Amid Suspension Debate on French Pension Reform
Resigning French Prime Minister Sébastien Lecornu warns suspension of pension reform could cost at least €3 billion by 2027 and stresses need for debate amid financial risks.
- • Sébastien Lecornu estimates suspension of pension reform would cost at least €3 billion by 2027.
- • Lecornu calls for a debate on the pension reform in light of public expectations.
- • The potential suspension reflects concerns initially raised by former Prime Minister Élisabeth Borne.
- • Lecornu warns against demographic denial and risks to France's financial credibility if spending rises without revenue compensation.
Key details
Sébastien Lecornu, France's resigning Prime Minister, addressed the ongoing public expectation over a potential suspension of the pension reform during an interview on France 2. While not explicitly endorsing the suspension, Lecornu estimated that halting the reform could cost the state at least €3 billion by 2027, aligning with prior assessments from former Economy Minister Roland Lescure who forecast billions in financial impact in the coming years.
Lecornu emphasized the necessity of conducting a thorough debate on the pension reform, recognizing the considerable political and economic stakes. He cautioned against what he termed 'demographic denial,' warning that increasing government spending without corresponding revenue adjustments could endanger France's financial stability and credibility on global markets.
Though the prospect of suspension was initially put forward by ex-Prime Minister Élisabeth Borne, Lecornu underscored the complex fiscal consequences involved. This economic perspective contributes to the broader political discourse as France contemplates next steps amid public pressures and financial realities concerning the controversial pension overhaul.