France Targets €30 Billion Cuts, €21 Billion Revenue Boost in 2025 Budget

Jan 15, 2025, 07:36 AM

The French government has announced plans for the 2025 budget, aiming to reduce public spending by over €30 billion and increase revenues by €21 billion. Amélie de Montchalin, the Minister of Public Accounts, described this as a "historic effort" to address the country's deficit, noting it as the largest effort in 25 years. She confirmed that €32 billion in savings and €21 billion in revenue increases are targeted, with an overall goal of €53 billion in savings. Measures include merging state agencies and implementing an anti-tax-optimization mechanism. The government emphasized that there will be no tax increases for middle and lower-income groups. Additionally, inflation is projected at 1.4% for 2025. These initiatives are part of broader efforts to reduce France's public debt and deficit.