Prime Minister Sébastien Lecornu has pushed France's budget through parliament using special constitutional powers that avoided a vote, after his minority government survived a series of no-confidence motions on Monday evening. The move ends months of political wrangling that had unsettled debt markets and alarmed European partners.
The budget, described by Lecornu as a 'breakthrough', includes a €6.5bn increase in defence spending and aims to reduce the deficit to 5% of GDP by 2026, from 5.4% in 2025. However, the target was revised upwards from an initial 4.6% after the government suspended President Macron's flagship pension reform, which had sought to raise the retirement age from 62 to 64, in exchange for the Socialist party's abstention in the confidence vote.
The political deadlock stems from the snap election called by President Emmanuel Macron in June 2024, which resulted in a hung parliament. Since then, two previous prime ministers – Michel Barnier and François Bayrou – were ousted over budget disputes. Lecornu, a key Macron ally, was appointed last autumn and resigned and was reappointed to secure the budget's passage.
With the budget now approved, Lecornu's fragile government hopes to focus on other domestic issues, including a law to protect farmers and a bill on assisted dying and palliative care. Municipal elections are scheduled for next month, while the 2027 presidential election dominates national politics.
Macron, who cannot stand for re-election, has shifted focus to foreign policy, advocating European independence and a tougher stance against US President Donald Trump on trade and Greenland. Meanwhile, far-right leader Marine Le Pen, a potential presidential contender, is attending a retrial over allegations of embezzling European Parliament funds, after being found guilty and banned from office for five years.
