It's the return to politics. Emmanuel Macron brings together François Bayrou and his new government, Friday January 3, for the first Council of Ministers. Several urgent issues await the executive, which will first have to quickly adopt a budget for 2025. The situation in Mayotte after the devastating passage of Cyclone Chido, the pension system and the agricultural crisis are also among the priorities of the new government team at the start of the year.
Adopt a budget for 2025
The motion of censure against the government of Michel Barnier, on December 4, brought down the 2025 Social Security budget. It also put a stop to the finance bill (PLF), making several budgetary measures such as such as the exceptional contribution on high incomes or the revaluation of the income tax scale. Faced with this unprecedented situation, a special law was submitted and adopted urgently in order to compensate for the absence of a budget for 2025. But this text, which authorizes the executive to levy taxes and borrow to finance the State and Social Security, is provisional.
The government of François Bayrou will have to quickly adopt a budget for the year 2025, which will require compromises with the opposition forces. A task that is all the more perilous in the current context of slippage in public finances. Before the Christmas holidays, François Bayrou said he hoped for the adoption of a budget “in mid-February”while recognizing not being “not sure I’ll get there”.
The new Minister of Economy and Finance, Eric Lombard, has outlined several avenues: he said he wanted “to arrange” the text proposed by the Barnier government and amended by parliamentarians, which was under examination when the Social Security budget was censored. He also spoke out in favor of possible tax increases. “very limited” and mentioned “additional savings”.
Helping reconstruction in Mayotte
The situation in Mayotte, devastated by the passage of Cyclone Chido on December 14, was the first crisis to be managed by the government. A law to help rebuild the department was announced by Emmanuel Macron during his visit to the victims. This emergency law is expected to be examined by Parliament in January.
During a trip to the archipelago, François Bayrou, accompanied by several ministers, presented his “Mayotte standing” plan, which contains emergency measures and longer-term commitments. The objective of restoring electricity at the end of January was announced, as was a restoration of the water network.
The Prime Minister also wants to ban the reconstruction of shanty towns on the archipelago. He also wants to restore the network through the deployment of 200 Starlink antennas, the technology developed by the company SpaceX allowing access to the internet, before the deployment of a “solution 5G” by the end of June 2025.
Engage in discussions about pensions
Barely appointed, François Bayrou said he wanted to initiate discussions around of the pension system. He said he believed in another solution for financing the pension system that the postponement of the age from 62 to 64 years – the New Popular Front and the National Rally like many unions are opposed to it – enshrined in the law with the highly contested reform of 2023.
-“We can find a different organization, but we will also have to ask ourselves the question of financing”had warned François Bayrou on France 2. During his consultations with a view to forming a government, the Prime Minister had proposed to political forces and social partners to reopen a discussion on pensions for nine months, but “without suspending” the 2023 reform, “because, when we suspend, obviously, we never resume”.
Providing solutions to farmers
The year 2024 was marked by the agricultural crisis during which farmers mobilized twice: at the start of the year to protest against their downgrading and environmental standards, then at the end of the year to show their opposition to the trade agreement between the EU and Mercosur. The dissolution and then censorship of the Barnier government put a stop to provisions supposed to help farmers.
Several expected measures appeared in the finance bill for 2025 and the financing bill for Social Security, such as reductions in charges for casual workers or aid to encourage the installation of new operators. A reform of farmers' retirement, which was to be calculated over the best 25 years, was also in the pipeline.
Relaunch the debate on the end of life
The dissolution of the National Assembly at the beginning of June also had mis a stop to the bill on the end of life. The first reading examination, which began at the end of May, was completed without going as far as a vote even though this text is one of the most emblematic of Emmanuel Macron's second five-year term.
The future of this “major social law” is currently uncertain, while François Bayrou has not spoken on the subject since his appointment. But in the past, the head of MoDem has expressed his reservations about the idea of a change in end-of-life legislation.
ABefore the censorship, the President of the National Assembly, Yaël Braun-Pivet, announced that the text was to be examined in the National Assembly from January 27, 2025.
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