French MPs definitively pass 2026 social security budget
Main budget bill is still being negotiated
MPs are yet to pass the main budget text
Abaca Press / Alamy Stock Photo
French MPs formally passed the 2026 Social Security budget in a vote yesterday (December 16), making it the first to be passed through the Assemblée nationale via a vote since the 2022 legislative elections when the government lost its absolute majority.
MPs narrowly voted in favour of the bill last week, and although it still had to be sent to the Senate for a further reading and then returned to the Assemblée nationale this process was largely seen as a formality.
Senators rejected the bill outright over concerns it did not do enough to reduce the social security deficit, however the Assemblée nationale has the final say in budgetary matters and reinstated the text in its December 9 format to definitively vote it through.
The final vote in the chamber was similar to that held last week, with 247 MPs voting for and 232 against (the December 9 vote saw 247 vote in favour and 234 against).
The bill’s success is being touted as a major victory for prime minister Sébastien Lecornu whose choice to reject the use of article 49.3, a means of allowing bills to be passed without a vote, and proceed instead with dialogue and amendments has been vindicated.
However, the main budgetary text (projet de loi des finances; PLF) is yet to pass, and as it relates to the majority of the government’s fiscal plans for the current year, is expected to be more fiercely contested.
Negotiations on the final text are to be held this week, with the government seeking support from the Socialist Party as well as centrist and right-wing MPs.
If the main budget text is rejected by MPs, emergency measures to extend spending at 2025 rates can be implemented before December 31, with renewed talks on a delayed budget at the start of next year.
This would not affect the measures in the already-passed social security bill however, which are set to come into force regardless of the other text.
What will change in 2026 due to bill?
The social security budget focuses solely on spending and revenues related to healthcare and benefits, with the main PLF bill focusing on wider spending and tax measures.
Notable changes included in the social security bill include a suspension of the 2023 pension reform until January 1, 2028, with the idea that candidates for the 2027 presidential election will make it clear what they intend to do with the measure.
Increased spending on hospitals and new additional parental leave are included, but higher CSG taxes and sick-notes being limited in how much leave they provide are measures intended to recoup costs.
Landmark measures in the original text, such as a freeze on benefits and pension payments were voted out of the text by MPs, so these payments will now increase in line with inflation as is the usual procedure.
An amendment to introduce a ‘health fee’ for some non-EU nationals including Americans was also included in the final version of the text and is set to be introduced.
As the text is unchanged from the December 9 version see more detail here.