Freezing of pensions, public administration, health spending… The budget cuts wanted by Michel Barnier are becoming more and more evident

2024-10-04 14:12:26

Of the 60 billion euros requested by the government to complete the 2025 budget, the executive foresees 40 billion euros in reductions in public spending. They will be revealed little by little, before the presentation of the finance law on Thursday 10 October.

The government seeks 60 billion euros to complete the 2025 budget As he repeated on Thursday evening in the “L’Événement” program on France 2, Michel Barnier recalled that the planned budget cuts would represent around 40 billion euros of this total. “In the effort we will make to reduce the debt, 60 billion, there will be a reduction of two thirds in public spending. And it will be very difficult.”warned the Prime Minister. But where to find these savings? Public function, health spending, retirement pensions… The paths explored by the new government, and which will appear in the financial bill presented on Thursday 10 October, are gradually taking shape. Le Figaro makes the point.

Postponement of the indexation of pensions to inflation for six months

One of the most emblematic savings options in the future budget will be the postponement of the indexation of pensions to inflation for six months. Traditionally scheduled for January 1st, next year it will exceptionally take place on July 1st. Pensions will therefore be frozen for six months. A measure, which would allow, according to information from the Figaroto recover 3.7 billion euros.

Read alsoThe revaluation of pensions postponed for 6 months for a saving of 3.7 billion euros

“Unite public services” and “don’t replace all public employees”

Budget cuts will not spare the public service. On the set of the show “L’Événement”, on France 2, Michel Barnier announced his intention to “Unifying public services” et “it probably won’t replace all public employees”. And this “when they are not in direct contact with citizens”also evocative “retired public employees”.

Read alsoReduce staff and impose a “culture of evaluation”… What Michel Barnier prepares for public employees

Measures to improve the “efficiency” of public spending

In his general policy speech to the National Assembly on Tuesday, Michel Barnier mentioned among others “remedies” to the consolidation of public finances “efficiency” expenses. Thursday evening on France 2, the tenant of Matignon thus outlined the path to a grouping “administrations or state bodies that make duplicates”. Two days earlier, in the Chamber, he had already announced his intention to bring together Business France, an agency that helps French businesses develop abroad, and Atout France, responsible for promoting French tourism abroad.

In his general policy statement, Michel Barnier cited another example of possible rationalization of public spending: “Is it acceptable for state services to rent premises in the heart of Paris at a high price when moving to nearby departments would save money and participate in urban renewal?”he wondered.

Towards a decline the rate of coverage of medical visits by social security?

To save money, the government will also contribute around 13 billion euros to social security. Among the avenues explored, our colleagues from Echoes mention a possible decline in the rate of coverage of medical visits by health insurance, from 70 to 60%. Enough to bring in more than 1 billion euros for Social Security, according to the business daily. A shift in burdens to complementary health insurance which however risks increasing the cost of health insurance for the French.

Read alsoSocial security balance sheet: what savings can be made in the face of dizzying drift in the accounts?

Reduce the cost of medical transport

Still on the health aspect, Michel Barnier also declared on France 2 on Thursday evening that he wanted to address the cost of medical transport, evoking the “billions” spent on these trips in approved ambulances, light medical vehicles (VSLs) or taxis. They cost 6 billion euros in 2022 according to data from Drees, the statistical service of the Ministry of Health, over 90% of which is covered by health insurance. “Can’t we do better or just as good with a little less money?”the prime minister asked on the public service channel.

Retargeting learning aids

While the government had hinted that there would be efforts in the field of business aid in the 2025 budget, Michel Barnier clarified the executive’s plans on France 2 on Thursday evening. If he felt we were spending “happily and positively lots of money to learn »he stated that it was necessary “see if some teaching aids cannot be redirected”. Already on Tuesday, during his general policy speech, the Prime Minister had expressed his wish “continue to support learning, but avoid unexpected effects”.

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