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France faces debt and budget austerity
Horbugha |
20 Sep 2025

France faces debt and budget austerity

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In a country where people are accustomed to voicing their dissent in the streets against government measures that affect their social fabric, the French took to the streets on Thursday in mass demonstrations aimed at reshaping the balance of political pressure—not from within parliament, but through public protest.

Following a series of disappointments with successive governments, between half a million and one million demonstrators gathered across French cities, according to estimates by the police and the General Confederation of Labor, to denounce the spending cuts planned in the 2026 budget.

Carrying union banners and slogans of anger, protesters distanced themselves from traditional political affiliations, turning Paris and other cities into arenas of confrontation between the people and the government.

One of the most striking features of Thursday’s protests was that they were not led by a specific political party, but rather by a unified call from trade unions. This helped attract a wide range of social groups, from teachers and healthcare workers to retirees, railway employees, and students.

More than 10,000 workers in the Paris and Île-de-France regional transport network joined the strike, which also extended to the French National Railway Company. Many public services, shops, and factories remained closed. This marked the largest mobilization since the 2023 protests against pension reform.

According to Virginie Martin, professor of political science and sociology at Kedge Business School, the demonstrations were “neither a great success nor a failure,” but they did allow unions to regain influence after losing ground since the Yellow Vests movement.

 

A Short Deadline for the New Government

 

These protests erupted during a transitional phase after President Emmanuel Macron appointed former Defense Minister Sébastien Lecornu to lead a new government. However, the public wasted no time, signaling that they would not allow the Élysée to repeat past mistakes and unfulfilled promises.

The day after the protests, the General Confederation of Labor (CGT) announced that Lecornu had until September 24 to respond to union demands regarding the 2026 budget. Otherwise, the country’s eight main unions threatened to escalate with more strikes and demonstrations.

Analysts argue that Lecornu’s room for maneuver is extremely limited, as he faces strong unions, tight budgetary constraints, and growing economic and social pressures.

 

A Crisis of Trust

 

Public anger is not directed at one specific budget item, but at an entire philosophy of governance: schools and hospitals are asked to cut costs, public transport is expected to absorb losses, while the defense ministry remains shielded from any spending cuts.

Virginie Martin argues that Macron deepened the political crisis last year when he dissolved parliament after the European elections— a move still puzzling to many. Since then, a string of mistakes has strengthened the opposition, giving them greater confidence ahead of the presidential race.

She added that as trust in traditional parties erodes, alternatives from both the far left and the far right gain traction, leaving citizens increasingly isolated and distrustful of collective political solutions.

 

Lecornu’s Controversial Background

 

Further controversy has arisen around Prime Minister Lecornu’s academic background. An investigation by Mediapart revealed that he never obtained the law degree he claimed, having studied only economics and social sciences before entering politics.

Martin noted that his limited experience and loyalty to Macron could expose him to major challenges that may harm his career, despite his previous popularity with the military when serving as defense minister.

 

Complex Political Balances

 

Political analyst Yves Sentoumier argued that Lecornu is leaning toward a right-wing stance close to Macron’s, while building a stable majority remains nearly impossible. The National Rally refuses to form coalitions, and the Socialist Party has few options without major concessions.

He described the outlook as “bleak,” warning that even if the budget passes, the government will remain paralyzed by constant pressure, leaving France in a state of political limbo.

On the economic front, Martin stressed the fragility of the situation: public debt continues to rise, France’s credit rating was recently downgraded by Fitch, and interest rates are climbing higher, all of which intensify the challenges facing the new government.

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