Paris: Anne Hidalgo's complicated fiscal year

From this Tuesday and until Thursday, the Council of Paris examines the draft budget of the city for 2021 presented by Anne Hidalgo.

It is not just the States to which the Covid crisis is costing dearly.

Cities too see their finances tighten suddenly, especially if they were already heavily in debt.

This is the case in Paris, where the budget year does not look easy.

How much has the Covid cost to the capital?

The Assistant in charge of Finance evokes the figure of 800 million, which on a budget of 10 billion, is obviously gigantic.

There are almost no more tourists, businesses are seeing their turnover plummet and stores are going bankrupt, so taxes are coming in less.

The real estate market froze, and therefore there was little of what are known as notary fees.

Result, a budget heavily in deficit and a debt that will explode, from six to more than seven billion euros.

What does Anne Hidalgo propose to cope?

As very often in France, when we see an increased deficit, when we see that tax revenues are decreasing, instead of reducing spending, we increase taxes.

And there, it promises to be a festival.

Doubling the tourist tax paid by tourists is a good way to make the capital attractive and to help hotels ravaged by the crisis to recover ... The 100% increase in the municipal share of the council tax for second homes is, again, very clever to attract tourists ...

And then there is this project which promises to be very popular: to charge for parking two wheels in the capital.

The subject, affirms David Belliard, the ecological assistant in charge of the displacements, "is seriously considered".

It must be said that on the parking revenue side, there will soon be a famous hole since the promise to remove 70,000 spaces for cars is to deprive oneself of 180 million euros every year.

What is striking about all these projects is their paradoxical aspect.

The city of Paris empties every year from 10 to 12,000 inhabitants, but we will increase the price of housing purchases.

The tourists were prevented from coming by the Covid crisis, we will tax them more to bring them back.

Everything is to match.

However, the budget should be validated, at least in broad outline.

Yes of course.

Anne Hidalgo is in the majority.

Even if, a little additional concern, his majority gives him a hard time.

They are the most restless Greens.

They had the skin of a close collaborator of the mayor of Paris, Christophe Girard accused for his links with Gabriel Matzneff.

And now in great confusion, several elected ecologists were accused on Tuesday by the right of having abstained from a vote to give the name of Samuel Paty to a street in Paris.

Not clear.

What is certain is that the president of the environmental group regretted the timing of this initiative.

These reservations are ambiguous when it comes to honoring the victim of an act of Islamist barbarism.

Anne Hidalgo curtly took note.

It may not be enough every time.