Government wants to limit ministerial spending increase to 0.4% in 2027, excluding debt and military costs

The French government intends to cap the growth of ministerial spending at 0.4% in 2027, a rate four times lower than the projected inflation. This ambitious target, outlined in a document sent to Parliament, specifically excludes expenses related to defense and debt servicing.

Public Accounts Minister David Amiel stated that the Prime Minister has instructed ministries to reduce their spending requests to well below inflation levels. While central administration expenses are set at 708.4 billion euros for the upcoming year, social security expenditures are expected to rise faster than inflation, reaching 838.3 billion euros. The government also plans to ask local authorities to limit their spending increases to align with inflation in 2027.

The document, titled "Spending Ceilings for the 2027 Finance Bill," limits the increase in ministerial credits to 1.5 billion euros next year, excluding defense, which is slated for a 6.4 billion euro increase. The Ecology mission is set to receive the largest credit increase at 1.5 billion euros, followed by Solidarity (1.1 billion), School Education (0.8 billion), Research and Higher Education (0.6 billion), Security (0.6 billion), and Justice (0.4 billion).

Conversely, several missions will see budget cuts. The Work, Employment, and Social Ministries Administration mission will lose 2.8 billion euros. France 2030 funding will decrease by 0.4 billion, social and retirement schemes by 0.4 billion, Official Development Assistance by 0.3 billion, Relations with Local Authorities by 0.2 billion, and Agriculture and Health missions by 0.1 billion each. The overall increase of 1.5 billion euros, excluding defense, is significantly lower than inflation, indicating that the state will bear the brunt of the fiscal effort while still funding identified priorities.

Prime Minister Sébastien Lecornu had previously urged ministers on June 10 to revise their initial budget requests downward, as noted in the "tiré à part" document. This initiative reflects a broader government effort to control public finances and manage the national budget more stringently in the coming years.