Toulouse is preparing with an “unbelievable” plan to straighten out the state budget: a figure released

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It’s a sword of Damocles above the head of Toulouse Métropole, and the edge of the blade was specified on Thursday October 17, 2024.

45 million eurosIt is the financial impact which could hit Toulouse Métropole within the framework of the 2025 finance bill which provides for a significant reduction in public spending.

The estimate of Toulouse Métropole services

This figure is an evaluation of the financial services of Toulouse Métropole, distributed and commented on by the president of Toulouse Métropole, Jean-Luc Moudenc, this Thursday, October 17, 2024, during the Toulouse Métropole council. He explained to elected officials:

“Since the government’s announcements last week, the community’s finance services have worked on the financial impact. What is clear is that it is not only the contribution of 5 billion, which is announced to participate in the budgetary effort, which impacts our communities, there is also the increase in contributions to the fund of community pensions, as well as the stagnation of endowments. All of the measures announced will impact our communities to the tune of 8 billion rather than 5 billion euros. According to the estimates I have, which is not a final figure since the budget was not voted by the National Assembly, represents a cost of 45 million euros for Toulouse Métropole, evaluation well above the estimates that I have read here and there.”

“This is not a fair contribution”

Jean-Luc Moudenc continued:

“The budget has not been voted on, but, as it stands, the finance bill suggests a budget of unprecedented harshness. THE financial shock that he promises us is of a magnitude never known until now, in a context where our communities are already weakened by decisions which have been imposed on us with a double movement of drop in revenue and increase in costs in recent years . That there is a contribution from local authorities in this particularly complicated financial context, we can hear it, but this contribution must be fair, which is not the case here, and discussed. However, there has not been the slightest beginning of dialogue until now,” regretted Jean-Luc Moudenc, during the Toulouse Métropole council, this Thursday morning.

A first figure was released

As a reminder, a few days ago, the association of Intercommunalities of France, which brings together nearly 1,000 intercommunalities out of the 1,254 in France, took out its calculator to estimate the sums that local authorities would have to pay to finance this budgetary effort.

According to calculations by Intercommunalités de France, Toulouse Métropole was required to contribute 13.9 million euros. The gap is therefore enormous with the estimate of Toulouse Métropole services. The budgetary reality may be difficult.

“What will be planed. It’s mind-blowing…”

The upcoming budgetary measures are worrying the mayors of the urban area…

“It’s unfair, unacceptable and it will lead to a reduction in public investment” reacted Karine Traval-Micheletthe mayor of Colomiers.

“At the end of this plan, our fear is that it will be the public services, and therefore the people who need them, who pay the price,” noted for his part Marc Perethe mayor of Union.

“What is going to be planed is unheard of. It’s amazing,” he said. Joseph Carlesthe mayor of Blagnac. I don’t see how we’re going to be able to do it. Not all municipalities will be directly concerned, but they will be indirectly. It will, in fact, (at the level of Toulouse Métropole) have to make decisions which will impact all the municipalities. If, for example, we touch the road envelope, this will concern all the municipalities even if they are not included in the list of 450 communities targeted as part of the budgetary effort.

Five billion euros less revenue

As a reminder, the presentation of the 2025 finance bill confirmed the major participation of communities in the effort to restore public accounts.

This participation would amount to 5 billion euros in terms of the levy on community revenues that the government plans, according to initial estimates. Possibly more if we consider all the contributions that weigh on communities.

Even though “while the State has voted for deficit budgets since 1975, we, local authorities, have voted for all our budgets to be balanced,” recalled Jean-Luc Moudenc.

A golden budgetary rule prevents any local authority from voting for a budget in deficit.

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