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Édouard Philippe Unveils €50 Billion‑a‑Year Business Tax Swap for 2027 Platform

He positions the budget‑neutral swap as a competitiveness jolt to revive industry.

Overview

  • The plan would cut production taxes by €50 billion annually and offset this with €50 billion less in business aids, totaling €250 billion over a five‑year term.
  • Targets include production levies such as CFE, C3S, the built‑property tax and CVAE, though Philippe has not published a detailed list of changes.
  • He presents the measure as a supply‑side shock intended to boost investment and industrial output in the face of U.S. and Chinese competition.
  • Initial reactions feature praise from some business leaders, while analysts warn that ending targeted aids could leave certain sectors worse off.
  • The announcement arrives during contentious 2026 budget debates in the Assemblée nationale and is read as a bid to steady his 2027 campaign after his call for Macron’s planned resignation.