the Minister of the Economy excludes taxation of retirees to finance social protection

The Minister of the Economy, Eric Lombard, ruled out on Wednesday January 22 the idea of ​​taxing retirees to finance social protection in the 2025 budget, ensuring that there would be no “no new taxes on households”.

Interviewed in the economic daily Les Echos on this suggestion made Tuesday by the Minister of Labor, Astrid Panosyan-Bouvet, Mr. Lombard responds that “the government's position is unambiguous: no new taxes on households”. According to him, “the adoption of the 2025 budget must, on the contrary, ensure that 18 million people do not see their income tax increase thanks to the indexation of the scale”.

The Minister of Labor proposed on Tuesday to contribute to the financing of social protection “retired people who can afford it”estimating their number at « 40 % », “depending on pension level”. “There are different taxes and contributions that could be considered [pour] retirees who can afford it (…) depending on pension levelshe also clarified. It’s up for discussion, it could be 2,000 euros, it could be 2,500.” For the minister, “the financing of social protection today falls too much on businesses and workers”.

“A personal proposal”

His proposal raised an outcry from the National Rally (RN) and La France insoumise (LFI). Matignon has already underlined for his part that the proposal of M^me Panosyan-Bouvet was “a personal proposal”.

“Tax retirees who have 2,000 euros of pension” East “totally scandalous”estimated the vice-president of the RN, Sébastien Chenu. “If there is that in the budget (…), I am in favor of not letting this happen”he said on TF1, implying that this would be grounds for censorship.

“I find it scandalous from a democratic point of view”for his part reacted the coordinator of LFI, Manuel Bompard, on BFM-TV. If LFI is in favor of “a tax reform so that the wealthy contribute more”, “trying to make people believe that it is a measure of tax justice to go after retirees who earn 2,000 euros per month, that really seems very dishonest to me”he judged.

This proposal also sparked contrasting reactions among government supporters. The vice-president of Horizons, Christian Estrosi, judged it « inadmissible » on RTL. “For all retirees, it’s the same rule. Because if we start to touch a retirement level, the door is open and little by little we will abuse it and go towards the weakest pensioners”judged the mayor of Nice, a city popular with many retirees.

Conversely, MP (MoDem) Perrine Goulet estimated Tuesday, during a press briefing at the National Assembly, “not inappropriate” to consider the participation of retirees in the effort to finance the needs of old people. “Nothing should be closed”and prevent efforts from “rely only on assets”she emphasized. The idea was also defended by the president of Medef, Patrick Martin. According to him, “everyone must participate in the war effort” to reduce deficits.