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Lecornu Shifts to 'Small Steps' as Lescure Denounces 'Fiscal Witchcraft' in France's Budget Standoff

He is courting off-camera compromises to avert a no-confidence vote.

Overview

  • Economy Minister Roland Lescure warned that several Assembly tax votes are "totally inoperative," citing an inapplicable levy on multinationals and dismissing hopes of "magical" windfalls.
  • Prime Minister Sébastien Lecornu said he will pursue incremental agreements without an absolute majority to secure a 2026 budget, calling the second reading the "moment of truth."
  • After the Zucman tax was rejected, deputies unexpectedly approved a MoDem-backed "impôt sur la fortune improductive" against the government's position, exposing a fragmented center bloc.
  • The National Assembly resumes Monday with the revenues section before moving Tuesday to the social-security budget, with substantial Senate rewrites anticipated before the text returns to deputies.
  • Public Accounts Minister Amélie de Montchalin estimates the measures passed so far would lift the tax burden to about 45.1% of GDP, with the new wealth tax yet to be costed.