France Faces Fiscal Turmoil as Budget 2025 Sparks Taxation Debate

The government grapples with a growing deficit, contentious tax policies, and public dissatisfaction over economic management.

France's 2025 budget, passed using Article 49.3 of the Constitution, is already under scrutiny for its ambitious deficit target of 5.4% of GDP, with doubts about its feasibility.
Critics argue that increased taxation on the wealthy, such as a proposed 'super ISF,' fails to address systemic issues impacting middle-class incomes and purchasing power.
The government is considering unprecedented measures, including monthly reviews of public spending and potential freezes on approved credits, to ensure deficit control.
Economic forecasts underlying the budget are seen as overly optimistic, with concerns about unrealistic growth and inflation projections potentially leading to further fiscal shortfalls.
Efforts to reduce public spending and reform state functions are being discussed, but disagreements persist over revenue generation, with opposition parties advocating for higher taxes on the wealthy and corporations.