French Government Faces Budget Crisis

Published: 2024-12-05

The French government, led by Michel Barnier, faced a significant setback as a motion of censure led to the rejection of the 2025 budget, including the social security financing bill.

This political upheaval has left the country without a clear financial plan, reverting to the 2024 budget to avoid a governmental shutdown.

The rejection of the social security bill has sparked a debate over pension revaluation, with some arguing that retirees might benefit from more generous provisions under the existing social security code.

However, the uncertainty looms large, as the government had planned specific measures to protect the most vulnerable retirees.

The political landscape remains tense, with President Macron expected to address the nation to clarify the government's stance and future steps.