Considering the potential increase in taxes for the upcoming year, there's cause for concern.
Scoop: Eric Lombard Dismisses Rumors of General Tax Hikes in 2026 🔒
June 10th, 2023 | By Jayden Jones
Take a seat, folks! France's Minister of Economy, Eric Lombard, has squashed rumors of a massive tax hike in 2026. During his appearance on France 2's Télé Matin on June 5th, the Minister was quick to shut down any talk of a general tax increase next year.
Image source: Sabrina Guintini
The main headline causing the fuss? Le Monde's article, "Bercy prepares the public for a new tax hike in 2026." In an immediate reaction on the show, Lombard adamantly stated, "There are no quotes, I do not assume this phrase!"
With the government keen on finding 40 billion euros in savings to balance the budget, the question remains: will we see a tax hike despite Lombard's claims? "That's not what we have in mind," the Minister emphasized, suggesting a different approach to fiscal matters.
The Push for Tax Stability
Lombard highlighted the need for "fiscal stability" and "stability of compulsory deductions" in France. The minister reminded viewers that the nation does not have a problem with high taxes per se, but rather excessive public spending, which reached a staggering 1,700 billion euros in 2025.
So, no tax hikes in the 2026 budget? "There will be no general tax hikes at all," Lombard reiterated.
Could We See a 'Social VAT' Instead?
The rumor mill has been buzzing about a potential "social VAT" following Macron's remarks in his May 13th speech on TF1. Yet, Lombard emphasized that no such proposal has been made, neither by President Emmanuel Macron nor the government.
With the government's six-week deadline to present budgetary orientations, we'll soon find out what measures they'll take to fill the financial gaps. In the meantime, Lombard made it clear that the focus is on managing existing fiscal challenges while keeping taxes stable.
Related keywords:
- budget tax hikes
- public deficit
- public debt
- François Bayrou
- trade war
- social VAT
- Emmanuel Macron
- mandatory e-invoicing
Insights:
- The implementation of a "social VAT" for 2026 remains uncertain, as official announcements regarding this potential financial measure are yet to be made.
- The focus of the French government, as stated by Minister Lombard, is on managing existing fiscal challenges and maintaining stability in taxes.
- There is no current proposal for a general tax hike in the 2026 budget, according to the Minister of Economy.
- The French government is working on implementing e-invoicing for businesses, starting with large and medium-sized companies in 2026.
- The French government is aiming to find 40 billion euros in savings to balance the budget, raising questions about whether a tax hike will be implemented despite Minister Eric Lombard's claims of no general tax increases in the 2026 budget.
- Amidst the buzz about a potential "social VAT," Minister Lombard clarified that no such proposal has been made by President Emmanuel Macron or the government, emphasizing their focus on managing existing fiscal challenges and maintaining stability in taxes.
