the essential
The world of local elected officials is in turmoil over a proposed budget accused of threatening investment and public services. Expected at the closing of the Congress of Mayors this Thursday, November 21, Michel Barnier should play the role of appeasement.
Cuddle therapy operation. Faced with local elected officials in turmoil over the budgetary slashing, the Prime Minister, Michel Barnier, must now play the appeasement card.
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Operation “closed town hall”, black scarves and increased press conferences: the anger of mayors has been brewing for several weeks, exasperated against the austerity of the budgetary measures planned for communities in 2025 by the previous government, and taken up by the new one. The executive is asking for a contribution of “five billion euros” to communities, including three billion to the 450 largest, but the associations of elected officials estimate the bill at 11 billion euros.
In this tense context, the head of government was due to deliver an expected speech this Thursday, November 21, to the Congress of Mayors, which brings together 10,000 local elected officials and around twenty ministers. According to BFM Businesshe could announce an increase in the mobility payment, an employer contribution used to finance public transport. A risky announcement, because it could trigger the anger of employers.
“Significant” reduction in effort for departments
Other promises to try to put out the fire: a “significant” reduction in effort for the departments, in a complicated financial situation. Among the five measures announced, two concern all communities, the office of the Minister of Partnership with the Territories Catherine Vautrin said on Tuesday.
First, the abandonment of the retroactivity of the reduction in the rate of Compensation Fund for Value Added Tax (FCTVA), crucial aid for community investment. Secondly, the smoothing over four years, instead of three, of the increase in contributions from territorial employers to the National Retirement Fund for local authority agents. However, the municipalities consider these measures insufficient.
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Coming to the aid of the mayors, the President of the Senate, Gérard Larcher, suggested limiting the effort requested from communities to two billion euros and finding the remaining three billion in savings elsewhere.
“The government's overall objective is to reduce the public deficit to 5%. […] Afterwards, if by discussing with parliamentarians, we manage to find savings elsewhere and make fewer savings with communities, why not”, replied Catherine Vautrin.
On average, 523 mayoral resignations per year
According to Catherine Vautrin, 2,400 mayors have resigned since the start of their mandate in June 2020. “That's 40 more per year during this mandate,” she told the press on Wednesday.
According to official figures taken from the National Directory of Elected Officials, resignations increased from an average of 485 per year during the previous mandate to 529 during this one. Figures to be taken with caution, however, warns the ministry, taking into account a change in calculation methods in 2021.
