France’s Le Cornu Rules Out Budget by Decree, Proposes Wealth Tax

French Prime Minister Sebastien Le Cornu has ruled out using constitutional decree to pass the national budget, vowing not to invoke Article 49.3, which allows laws to be adopted without parliamentary approval. This commitment aims to prevent a vote of no confidence during budget debates in the National Assembly. Le Cornu, the third prime minister appointed by President Emmanuel Macron since June 2024 and fifth since his 2022 re-election, pledged to reduce public debt—currently at 114% of GDP—and proposed significant fiscal policy shifts as a goodwill gesture toward opposition parties. He emphasized that discussions must begin next week, with his programmatic speech set for Monday before the National Assembly. On October 2, amid ongoing union protests, Le Cornu unveiled proposals on wages and women’s pensions, including a financial wealth tax instead of the opposition-backed Zucman tax on large fortunes. He has held talks since his appointment in early September, including a meeting today with the far-right National Rally, the largest bloc in parliament. Marine Le Pen welcomed the rejection of Article 49.3 as showing ‘greater respect for democracy,’ while Socialist leader Olivier Faure called it ‘real progress’ but demanded a parliamentary vote on the 2023 pension reform. Meanwhile, the radical left-wing France Unbowed party plans to file a no-confidence motion immediately after Le Cornu’s government is formally appointed.