The new budget includes a $7.6 million increase in military spending and aims to reduce the deficit to 5 percent by the end of 2026.
Published on February 2, 2026
France has passed its 2026 budget after two no-confidence motions failed, allowing legislation to pass and marking a period of relative stability for Prime Minister Sébastien Lecornu’s weak minority government.
The budget, adopted on Monday after four months of political deadlock over government spending, includes measures to reduce France’s deficit and boost military spending.
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“France finally has a budget,” Lecornu said in a post on X. “A budget that makes clear choices and addresses essential priorities. A budget that contains public spending and doesn’t raise taxes for households and businesses.”
Proposals put forward by France Unbowed, the Greens and other left-wing groups received 260 of the 289 votes needed to oust the government. The far-right party got only 135 votes.
A gaping hole in public finances has made belt-tightening more urgent, just as budget negotiations have gripped the French political class for nearly two years after President Emmanuel Macron’s 2024 snap election delivered a hung parliament.
Budget talks have left the two prime ministers worried about their jobs, the debt crisis and France’s European partners.
However, Lecornu – whose chaotic two-stage nomination in October drew worldwide derision – managed to win the support of Socialist lawmakers through expensive but targeted concessions.
Deficit reduction
France is under pressure from the European Union to rein in its debt-to-GDP ratio – the bloc’s third-highest after Greece and Italy – which is more than double the EU’s 60-percent ceiling.
France aims to reduce its deficit from 5.4 percent of gross domestic product (GDP) in 2026 to 2025, after the government pulled back from an earlier target of 4.7 percent.
The budget includes higher taxes on some businesses, expected to bring in about 7.3 billion euros ($8.6bn) in 2026, although the Socialists failed to win support for a proposed wealth tax on the super-rich.
It also increases military spending by 6.5 billion euros ($7.7m), a move the premier described as the “heart” of the budget last week.
However, the Socialists won many of the demanded measures, including one-euro meals for students and an increase in top-up payments for low-income workers.