2024 Budgetary Plans: Government Announces Tax Increments, Promotes Ecological Transition and Control Health Spending

2023-09-27 11:07:28

The government presents to the Council of Ministers, Wednesday September 27, its two budgetary texts for 2024: its finance bill (PLF) and its Social Security financing bill (PLFSS). Bercy notably announced an increase in State personnel by 8,273 agents in 2024, with marked increases in the missions of maintaining order, police and justice in particular, and the ecological transition. Follow the details of the announcements in our live stream.

A new tax on highways and airports. The government plans in particular to introduce a new tax on motorway concessions and large airports in 2024, which should bring in 600 million euros annually. “The best financing” for investments in ecological transition, “it is to ensure that those who pollute more contribute more”, declared the Minister of Finance, Bruno Le Maire. He assured that this increase in taxation would not be reflected “not on the user” thanks to maintaining toll rates.

Bruno Le Maire plans 16 billion euros in savings. With a growth outlook revised downwards for next year, to 1.4% instead of 1.6%, the Minister of the Economy is counting on 16 billion euros in savings, including 10 billion linked to the gradual end of the energy tariff shield. “We cannot keep such a high level of debt [elle s’établit à 3 013,4 milliards d’euros selon l’Insee]judged Bruno Le Maire, during a press point before the Council of Ministers.

An effort for ecology. In line with the “ecological planning” detailed by Emmanuel Macron on Monday, the State will commit an additional seven billion euros to the ecological transition in 2024. This envelope will make it possible in particular to finance the increase of 1.6 billion euros in resources allocated to MaPrimeRénov’, assistance for the energy renovation of housing.

Tax cuts will wait. The government had promised the total abolition in 2024 of the contribution on added value of companies (CVAE), a production tax weighing on companies. This disappearance will ultimately last four years. Middle-class households will wait until 2025 to start benefiting from the 2 billion euro tax cuts promised in May by Emmanuel Macron.

Control health spending. On the PLFSS side, “we are not going to reduce health spending”more “they need to increase more slowly”recently warned the Minister of Public Accounts, Thomas Cazenave.

A review in Parliament from October. Once adopted by the Council of Ministers, the two texts will be examined by the National Assembly in October, then by the Senate. The Prime Minister has already admitted that she should “certainly” use article 49.3. In the fall of 2022, Elisabeth Borne had drawn this constitutional weapon ten times on the PLF and the PLFSS.

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