Overview
- The National Assembly voted unanimously against the budget's revenue section, with 458 deputies opposing the first‑reading text on Wednesday night, which cancels the Assembly’s amended copy and sends the government’s original bill to the Senate.
- During debate MPs passed thousands of amendments that changed key measures, including removing a property tax exemption for wind‑turbine masts and rolling back the mandatory electronic invoicing requirement for small firms.
- The government says the deputies’ changes would widen the deficit to about 5.9% of GDP versus its 5% target for 2027, while the independent HCFP has questioned the budget’s growth assumptions after third‑quarter GDP fell by 0.1%.
- The Senate will examine the government’s PLF from November 20 and the PLFSS from November 9, after which a joint committee or new Assembly votes could follow but the government may instead use Article 49.3 or, after constitutional time limits, ordonnances.
- The impasse deepens pressure on public finances and on citizens who face tighter services or taxes if targets are met, and it raises political risks for the government as social protests and the presidential campaign intensify.