Former French PM calls for compromise with National Rally amid budget crisis

France’s former Prime Minister Gérald Darmanin has urged his successor, Michel Barnier, to engage with the National Rally (RN) party and its 11 million voters as the government grapples with a faltering budget and mounting debt.

Facing the possibility of a no-confidence vote, Darmanin suggested turning to the hard-right for solutions rather than ignoring their influence.

On November 27, Darmanin took to X, writing, “In a few days, the deputies will have to make an extremely important decision. I hope, for the sake of my country, they will not censure the government of Michel Barnier, which is doing everything possible in very difficult circumstances.” He emphasized the need for compromise, calling for dialogue with RN deputies and acknowledging their voters’ frustrations with mainstream parties. “A hand must be extended,” he added, urging concessions on electricity taxes and rejecting additional charges.

Economy Minister Antoine Armand echoed this sentiment on November 28, signaling willingness to adjust budgetary provisions, particularly on energy taxes, to avoid a financial crisis. Barnier warned of a looming “storm” if the budget fails, pointing to potential market turmoil and rising interest rates.

Marine Le Pen, RN’s leader, has pushed for no tax hikes, stricter immigration controls, and proportional voting to better reflect public sentiment. While polls show most citizens want Barnier’s government to fall, Le Pen remains poised to act against the administration. Meanwhile, left-wing opposition proposed lowering the pension age from 64 to 62, a move RN initially backed but delayed by amendments.

Amid these tensions, the Senate approved new taxes on bottled water, gas boilers, and airline tickets after rejecting an electricity tax increase. Investors are wary, with France’s 10-year interest rate matching Greece’s at 3.03%, despite Greece’s higher public debt. Armand dismissed concerns, stating, “France is not Greece,” highlighting the country’s stronger economy and workforce.

With budget debates heating up, the government teeters on the edge, needing both compromise and decisive action to stave off collapse.

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