French PM promises not to force through 2026 budget, urges compromise

Sébastien Lecornu outlining budget approach in first televised address

No confidence votes ousted the two prime ministers preceding Sébastien Lecornu
Published

French Prime Minister Sébastien Lecornu promised he will not attempt to force through the upcoming 2026 budget using the controversial article 49.3.

“I have decided to renounce [use of] Article 49.3 of the Constitution in order to govern,” said the prime minister outside Matignon (the prime ministerial office) this morning. 

The article gives the prime minister power to force through certain bills without a vote, but risks a vote of no confidence from MPs.

“Compromises are possible… the question now is how everyone can make a gesture without compromising their beliefs,” he added. 

“In a functioning parliament… that was renewed more than a year ago, which resembles the French with its divisions, we cannot force our way through and we cannot constrain our opposition,” he added.

He is engaged today in several meetings with leaders of opposition parties including the Socialists, Greens, and far-right Rassemblement National (RN) as he looks to gain a majority backing from MPs in a deeply-divided Assemblée nationale

The move was supported by far-right MP Marine Le Pen who said the announcement “seems to me to be more respectful of democracy than what has been done in previous years.”

“I would like to remind [people] that Article 49.3 is intended to constrain the prime minister’s own majority, and he does not have a majority,” she added.

However, she said that Mr Lecornu needs to “be clearer than what I heard [in meetings today]… to convince the RN to participate in the budget work,” meaning support from the party is far from assured.

Socialist Party leader Olivier Faure said that the prime minister’s proposals were currently “insufficient,” and required more for the party to work with him. 

“I want to give the prime minister a chance,” he said, but if Mr Lecornu’s general policy speech – to be given when parliament reopens – is deemed insufficient, the party’s MPs will join any attempts to oust him through a vote of no confidence.

Use of article 49.3 led to removal of former prime minister

Michel Barnier, prime minister from September - December 2024, was ousted for attempting to pass last year’s budget through parliament using article 49.3.

This controversial measure allows a prime minister to pass through certain measures, including fiscal acts such as the budget, without a vote in parliament. 

Using it however opens the government up to an immediate vote of no confidence, which only needs a majority of MPs (289 of 577) in the chamber to support it to topple the current prime minister and their cabinet.

In Mr Barnier’s case, both the left and far-right came together to vote against him following his use of the article.

Mr Lecornu has inherited the same fractured parliament as his predecessors, where he and his allies lack a clear majority, forcing him to seek support from either the left or far-right to pass the budget. 

What will be included in the 2026 budget?

The upcoming budget is set to be introduced and debated by MPs and Senators later this month. 

Mr Lecornu took over the role of prime minister from François Bayrou who had outlined a provisional budget including €44 billion of savings earlier in the summer.

Containing several extremely unpopular measures criticised by politicians across the spectrum – including some MPs from his own camp – rising anger led Mr Bayrou to call an extraordinary session of parliament asking for a vote of confidence in September. 

He lost the vote overwhelmingly

Mr Lecornu has already confirmed that one of Mr Bayrou’s ideas for reducing France’s deficit - the removal of two public holidays - has been scrapped.

In addition his team have hinted that tax reductions for couples on or close to the monthly minimum wage, and an end to extra taxes and social security charges for overtime work are being considered, alongside a return of the ‘prime Macron’ bonus.

The tax reduction for couples would affect around five million households and see taxes reduced by an average of €300. 

However, proposals to introduce the Zucman tax on ultra-wealthy individuals, backed by the Socialists, or the former wealth tax (Impôt de solidarité sur la fortune, ISF) will not be included in the budget according to reports. 

In a bid to win the support of France’s unions – which saw a low turnout for yesterday’s strike action – Mr Lecornu is looking to improve women’s pensions in the 2026 budget. 

Two suggestions previously put forward could be considered:

  • Reducing the number of ‘best years’ of a woman’s salary used for calculating pension rates, based on the number of children they have. 

Currently 25 years, this could reduce to 24 for women with one child and 23 for those with two or more. (Removing the lowest year or two of earnings would result in a higher pension rate when earnings from the remaining 23/24 years are averaged).

  • Allowing women benefiting from additional quarters for having children to count some of these towards the "carrière longue" scheme which allows for earlier retirement.

Mr Lecornu is looking to find up to €6 billion of savings from the state’s spending, by reducing its ‘standard of living’ through certain benefits afforded to current and ex-workers. 

This includes an end to ‘for-life’ perks for ex-prime ministers and prominent government figures, as well as a freeze on new state communication/information campaign spending (with the exclusion of public health campaigns).

Both Matignon and the Elysée Palace (the president’s residence and office) will not receive increased budgets for the upcoming year. 

Other major measures in Mr Bayrou’s planned budget, including a freeze on social welfare spending, have not been publicly addressed by the prime minister. 

Mr Lecornu must gain support from at least one other major group in the chamber to pass the budget otherwise France risks a second year without passing a budget on time, further weakening financial stability.