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French Lawmakers Reach Budget Deal, Government Faces Censure Risk

After intense negotiations, a 2025 budget compromise was reached, but its survival hinges on upcoming votes in Parliament.

  • A joint commission of deputies and senators approved the 2025 budget proposal by eight votes to six after 14 hours of negotiation.
  • Key measures include temporary taxes on high earners and large corporations, with cuts across several ministries to reduce the deficit to 5.4% of GDP.
  • The budget maintains 4,000 teaching positions but reallocates funds within the education budget to achieve this.
  • The government plans to use Article 49.3 of the Constitution to bypass a parliamentary vote, but opposition parties, including France Insoumise, have announced plans to file a motion of censure.
  • The Socialist Party remains undecided on supporting the censure motion, weighing concessions like preserving aid programs and teacher positions against broader budget cuts.
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