Overview

• The French government, led by Prime Minister Michel Barnier, faces challenges in passing the Social Security budget, with key issues like employer charge reductions causing division.
• The Senate, dominated by Republicans and centrists, is expected to support the government more than the fragmented National Assembly did.
• Debates will focus on proposed changes to employer charge exemptions, with a compromise suggesting a reduction to three billion euros in savings.
• A new 'contribution of solidarity' proposes seven unpaid work hours annually per employee to fund elderly care, a measure likely to be contentious.
• The Senate plans to increase taxes on sugary drinks, tobacco, and online gambling to boost revenue, reflecting a focus on fiscal responsibility.