national assembly (illustration) -

A. GELEBART / 20 MINUTES

From one crisis budget to another: the National Assembly widely adopted on Tuesday the first part of the 2021 draft budget and its tax cuts for businesses, before delving into the accounts of the Social Security, sealed by the coronavirus crisis.

Dedicated to state revenues, the first part of the finance bill (PLF) provides for a 10 billion euros reduction in corporate production taxes to revive the economy.

It was voted by 349 votes against 199, with 10 abstentions, on first reading.

The text, which must be definitively adopted before the end of December, garnered the support of the majority (LREM, MoDem and Agir) and part of the IDUs.

Left and LR voted against.

At LREM, Alexandre Holroyd defended a “general mobilization budget” in the face of “the almost generalized economic depression”.

Debated for a week, the reduction in production taxes stirred the hemicycle.

The left criticized the majority for its “old fad” of the “supply” policy, with this “new gift” to companies.

And demanded, supported by a few LREM voices, social or ecological compensation for large companies.

Green commitments for later

The Minister of Public Accounts Olivier Dussopt refers the question of ecological or social "commitments" of companies to the second part of the budget devoted to expenditure.

The key moment will be the review of the 100 billion euro stimulus package next Monday.

In favor of lowering production taxes, the right has however criticized the “wall of debt” erected and the “brutal tightening of the automobile penalty” for the purchase of polluting vehicles, a “punitive taxation”.

Overall, this PLF expects a rebound of 8% of GDP in 2021, a deficit of 6.7% of GDP and debt still dizzying at 116.2% of GDP.

But this budget is already “stillborn” according to Eric Woerth (LR), because it is based on economic assumptions established before the second wave of Covid.

“Winter is coming”, recognizes an LREM manager.

“We heal ourselves with debt!

"

After this solemn vote, the deputies began to examine the 2021 Social Security financing bill and its 2,000 amendments.

Faced with the new wave of the epidemic, Olivier Véran announced an additional 2.5 billion euros for health establishments.

This should in particular finance for staff the advancement to December of salary increases for "Ségur" and "overvaluation of overtime".

“We heal ourselves with debt!

», Indignant Jean-Pierre Door, defending in vain for LR a motion of rejection.

For its part, the left has said it fears that this budget is only "a parenthesis before the return of austerity", and regretted having to "rule blind", without anticipating the impact on social accounts of curfews since the weekend.

Particularly in bad shape, the health insurance branch (-19 billion in 2021) has planned to fund 4.3 billion for masks, tests and work stoppages, including 1.5 billion for a vaccination campaign.

Health

Olivier Véran announces an additional 2.5 billion euros for health establishments

Health

Social Security Budget: Exponential health spending and paternity leave doubled

  • National Assembly

  • Social Security

  • Budget