the state plans to cut spending, a first since 2015

by time news

2023-07-16 18:36:00

Thanks to the phasing out of energy tariff shields and the exceptional fuel allowance, the State will save 14 billion euros.

By LL with AFP Loans granted to State missions for 2024 reach 356 billion euros, down 4.8 billion euros compared to 2023. © Vincent Isore / MAXPPP / IP3 PRESS/MAXPPP Published on 16 /07/2023 at 6:36 p.m.

Excluding debt interest, state spending should decline in 2024 thanks to the end of energy tariff shields, according to a preparatory document for the budget published Sunday by Bercy, a first since 2015, according to the ministry. .

The credits granted to the various missions of the State for 2024 reach 356 billion euros, down 4.8 billion euros compared to 2023, according to this document, the progressive end of the tariff shields for gas and electricity explaining this decline.

Expenditure allocated to the “public energy service” program, which includes energy shields and the exceptional fuel allowance, fell from 21.7 billion euros to 7.7 billion euros, i.e. a saving of 14 billion , according to the “expenditure ceiling of the 2024 finance bill” sent to Parliament on Sunday.

3.9 billion euros more for National Education

The Ministry of the Economy also sees its expenditure ceiling drop by more than 3 billion euros with the end of the support window for companies that consume a lot of energy.

Savings are also made possible by the drop in unemployment, with less recourse to subsidized business contracts or on housing with the abolition of the Pinel device and the overhaul of the zero-rate loan announced in June.

The government has set itself the goal of reducing France’s heavy debt to 108.3% of gross domestic product in 2027 (compared to 111.6% at the end of 2022), which ranks it among the worst European students and to bring it under the European objective of 3% the public deficit (4.7% at the end of 2022).

READ ALSOPublic finances: how Bercy wants to reduce the deficit

Among the best-off ministries, National Education sees its credits increase to 64.2 billion euros, i.e. 3.9 billion euros more, and the provisional ceiling for Defense is increased by 3.3 billion euros. euros to 47.2 billion euros.

The increase in spending for the army will be devoted to armaments and the revaluation of salaries, according to Bercy. The missions concerning the Ministry of the Interior and Justice are also upgraded.

Bercy also ensures that an additional 7 billion euros will be dedicated to ecological planning. The “ecology, development and sustainable mobility” mission increases by 2.3 billion euros and actions are planned for the energy renovation of housing, cleaner mobility or even via the renewal of the “green fund” aimed at communities. .

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