French far-right pressures Barnier with 'counter-budget' proposals

investing.com 16/10/2024 - 14:01 PM

PARIS (Reuters)

France's far-right leader Jordan Bardella said on Wednesday his party's budget proposals must be taken into account, raising the risk that Prime Minister Michel Barnier's minority government might face a no-confidence vote that could topple it.

The government last week presented its 2025 budget with plans for €60 billion ($65.68 billion) in spending cuts and tax hikes on the wealthy and large corporations to address a growing fiscal deficit.

However, lacking a majority in the National Assembly, Barnier will likely need to use special constitutional powers to push the bill through without a vote, potentially triggering a no-confidence vote.

With the most seats, Bardella's Rassemblement National (RN) holds the balance of power in the lower house of parliament, meaning Barnier's government requires their tacit support if a no-confidence vote is brought forward.

The RN introduced its own "counter-budget" on Wednesday, claiming its proposals would generate an additional €15 billion in savings next year by cutting some social welfare payments for foreigners and raising taxes on share buybacks and the wealthy, among other measures.

"If Mr. Barnier continues to follow President Emmanuel Macron's policy, then this government will fall," Bardella declared to reporters during a visit to the Paris car show, insisting on an end to Macron's "catastrophic" fiscal policies.

"Even before the question of a no-confidence vote arises, we intend to get as many of our measures adopted as possible, considering the social emergency and the difficulties our fellow citizens face in making ends meet while also making necessary savings," Bardella added.

Lawmakers were scheduled to begin debating Barnier's high-stakes budget bill late on Wednesday in the lower house's finance committee, with more than 1,700 amendments already proposed. The legislative process is expected to continue until mid-December.




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