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3mo ago

French Parliament Passes 2025 Budget After Months of Political Turmoil

Prime Minister Bayrou's government survives no-confidence votes, using special constitutional powers to push the budget through.

French Prime Minister Francois Bayrou delivers a speech during a debate on a motion of no-confidence against the French government on the 2025 budget bill (PLF), tabled by members of parliament of La France Insoumise (France Unbowed - LFI) parliamentary group, at the National Assembly in Paris, France, February 5, 2025. REUTERS/Gonzalo Fuentes
French Prime Minister Francois Bayrou before a debate and a vote on a motion of no-confidence against the French government on the 2025 budget bill (PLF), tabled by members of parliament of La France Insoumise (France Unbowed - LFI) parliamentary group, at the National Assembly in Paris, France, February 5, 2025. REUTERS/Gonzalo Fuentes
Bayrou is safe in his job... for now
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Overview

  • The French Senate approved the 2025 budget on Thursday, following its earlier passage in the National Assembly through the use of constitutional Article 49.3.
  • Prime Minister François Bayrou's administration survived no-confidence votes triggered by the budget's forced adoption, with insufficient support from opposition parties to topple the government.
  • The budget aims to reduce France's public deficit to 5.4% of GDP through €30 billion in spending cuts and €20 billion in tax increases targeting wealthier individuals and corporations.
  • The political crisis over the budget had previously led to the collapse of Michel Barnier's government in December, prompting President Emmanuel Macron to appoint Bayrou as prime minister.
  • The 2025 budget now awaits review by the Constitutional Council, with the government planning to use similar measures to pass the social security budget in the coming weeks.