It remains to be seen whether abandoning the increase will be enough for Le Pen and her troops to abandon their plans to vote for a motion of no confidence against Barnier and his government. Such a measure is expected to be put forward as early as next week by the left-wing opposition in the National Assembly, France’s lower house of parliament.
If the motion passes, the budget would be rejected and the government would collapse — a possibility that has sent a shiver through the financial markets.
Barnier’s minority government is backed by a fragile coalition of centrist and conservatives and, at least initially, enjoyed the tacit support of the National Rally. To pass his budget, Barnier will most likely need to resort to a constitutional mechanism to pass legislation without a vote but in turn allows lawmakers to file motions of no confidence.
By joining forces with Barnier’s left-wing opposition, who have already vowed to propose such a motion, the far right can oust him from office.
The National Rally on Thursday issued a statement calling the budget “unacceptable” and reiterating its demands, including the scrapping of the electricity tax hike; getting rid of the a delay to the inflation adjustment for pensions; axing a plan to stop reimbursing patients for certain types of drugs; and opening negotiations with Brussels to reduce France’s contribution to the European Union budget.
