Holiday cuts for economic recovery? A dangerous illusion

France’s Prime Minister François Bayrou has unveiled a controversial budget plan that includes scrapping two national public holidays in a bid to tackle the country’s soaring debt and deficit.

Presenting the 2026 budget on Tuesday, Bayrou said France must “work more” to prevent the economy from being “crushed” under its debt burden. He suggested Easter Monday and May 8 (Victory Day, marking the end of World War II) as possible holidays to scrap, though he remained open to alternatives.

Debt Crisis and Budget Targets

France is under EU pressure to reduce its public deficit of 5.8% of GDP to below the required 3%. The country’s debt currently stands at €3.3 trillion, with €60 billion in annual interest payments threatening to become the largest single budget item.

Bayrou described the debt as a “mortal danger” for a country “on a cliff edge” and announced plans to cut €43.8 billion from spending, aiming to reduce the deficit to 4.6% in 2026 and 3% by 2029.

Key Budget Measures

• Freeze on government spending (except debt servicing and defence)
• Defence budget to rise by €3.5bn in 2026, with further increases in 2027
• Pensions frozen at 2025 levels
• Welfare and healthcare cuts, including a €5bn reduction in health spending
• Salary freeze for civil servants and cuts in public sector jobs

Strong Political Backlash

• The proposal to cancel public holidays has sparked widespread anger across the political spectrum.
• Jordan Bardella (National Rally) called it “a direct attack on our history, our roots and working France.”
• Fabien Roussel (French Communist Party) denounced the budget as “an organised hold-up.”
• Jean-Luc Mélenchon (LFI) urged that it was “time to expel Bayrou” to end “destruction and injustice.”
• Boris Vallaud (Socialist Party) branded the plan “brutal and unacceptable,” accusing the government of asking more from the poor than the wealthy.
• Marine Le Pen warned that if Bayrou did not change course, her party would vote against him, saying the government was targeting “working people and retirees instead of tackling waste.”

Political Uncertainty Ahead

With a hung parliament after last year’s snap election, Bayrou does not command enough votes to pass the budget without support from either the left or the right — both of which are firmly opposed.

If no agreement is reached, the prime minister could face a no-confidence vote in October, when the budget bill is formally presented, risking a repeat of the downfall of his predecessor, Michel Barnier.