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Bayrou Government Survives Censure and Launches Cross-Party Budget Talks

Having won a reprieve in the National Assembly, the prime minister is holding cross-party consultations to shape the €40 billion austerity package ahead of his mid-July budget announcement

Pour combler le lourd déficit du pays, le gouvernement entend économiser 40 milliards d’euros dans le projet de budget pour 2026.
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Le président Emmanuel Macron lors d'une cérémonie à Nouméa, le 24 juillet 2023

Overview

  • Bayrou faced his eighth motion of censure on July 1 but the Socialist‐backed bid fell at 189 of the 289 votes needed when the Rassemblement National withheld its support
  • Meetings with all parliamentary groups are underway through July 11 as deputies submit amendment proposals for the 2026 budget framework
  • The government’s €40 billion savings plan hinges on an année blanche to freeze inflation indexation, aiming to secure nearly €20 billion in cuts
  • France’s public deficit remains above 5 % of GDP—well beyond the EU’s 3 % limit—intensifying pressure for immediate fiscal consolidation
  • Bayrou will unveil his full budget orientations between July 15 and 17, setting the stage for autumn debates in Parliament