The Minister of Economy, Bruno Le Maire, announced this Wednesday that he will propose significantly reduced spending ceilings for each ministry this week, in order to prepare the 2025 budget on time, despite the current political crisis.
A 2025 budget under high constraints
Bruno Le Maire stressed the importance of respecting the deadline for presenting the draft budget to Parliament before October 1, as stipulated in the Organic Law on Finance Laws (Lolf). "I will send appropriation proposals ministry by ministry to the Prime Minister this week." Gabriel Attal ", he declared on France 2. The credits for 2025 will be "lower" than those of 2024, in "significant" proportions, to contribute to the recovery of public finances.
Objective: 20 billion euros in savings
The Minister for Public Accounts, Thomas Cazenave, estimated last March that 20 billion euros in savings would be necessary for 2025. Bruno Le Maire reaffirmed this objective, specifying that his proposal will include spending reductions and a return to balanced budget by 2027. “If the next government wants to do something else, all options will be open,” he added.
Budget cuts for 2024 already underway
For 2024, France must already save 25 billion euros to meet its public finance objectives. Bruno Le Maire detailed in July that 15 billion in savings have already been made, with a reduction of 5 billion additional euros requested from each ministry, two billion from local authorities and three billion from more effective taxation of annuities. energy.
Increased European pressure
France is facing increased pressure from the European Union, which has launched excessive deficit proceedings against seven member states, including France. With a public deficit at 5,5% of GDP in 2023 and a debt of nearly 111% of GDP, France must take corrective measures or risk financial sanctions. The Stability Pact, reactivated this year after being suspended in 2020, provides sanctions for countries that do not respect budgetary rules.
Bruno Le Maire remains firm on the need to reduce spending and avoid new spending, contrary to the economic program of the New Popular Front, which he considers “irresponsible”. The adoption of the finance bill for 2025 promises to be complex with a National Assembly without a clear majority.
An adaptable budget
Bruno Le Maire stressed that the proposed budget will be adaptable according to the decisions of the new government, resulting from the anticipated legislative elections. “I will send my proposals by the end of the week so that the next government can, on October 1, present, as has been customary since 1958, the budget for France,” he concluded.
Alice Leroy
