A view shows the Bercy Economy and Finance Ministry building in Paris, France, July 15, 2025. REUTERS/Abdul Saboor
PARIS (Reuters) -French Prime Minister Francois Bayrou proposed scrapping two public holidays and freezing most public spending as part of a 43.8 billion euro ($50.88 billion) budget squeeze he outlined on Tuesday.
Bayrou's plan involves freezing welfare spending and tax brackets in 2026 at 2025 levels, not even adjusting for inflation, which was immediately criticised by left-wing and far-right politicians. Defence spending, however, will increase.
