France is one step from a shutdown, Macron pushes a last-minute fix

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France is rushing to avoid a shutdown like the one in the U.S. Macron’s emergency bill is a temporary fix as budget talks fell apart and parliament remains divided.

PARIS — France’s fractured parliament is debating an emergency bill Tuesday designed to prevent a U.S.-style government shutdown next week, after negotiations on a 2026 budget collapsed.

With just days left before the new year, President Emmanuel Macron and his Cabinet met Monday night to present the brief draft law. It aims ″to ensure the continuity of national life and the functioning of public services,″ including collecting taxes and disbursing them to local authorities based on tax and spending levels in the 2025 budget, the Cabinet said.

Lawmakers in the National Assembly, the French parliament’s powerful lower house, made several amendments to the bill and are expected to vote on it late Tuesday, followed by the Senate. It is likely to pass despite deep divisions among the assembly’s three main camps — Marine Le Pen’s far-right National Rally, left-wing forces and Macron’s centrist minority government.

https://abcnews.go.com/Business/wireStory/france-races-avoid-us-style-government-shutdown-after-128644035

France has a high level of public spending driven by generous social welfare programs, health care and education, and a heavy tax burden that falls short of covering the costs.

Prime Minister Sebastien Lecornu, who resigned then was reappointed this fall, is expected to make a public address later Tuesday about the budget situation.

Lecornu’s minority government won relief earlier this month when parliament narrowly approved a key health care budget bill, but at the cost of suspending Macron’s flagship pension reform meant to raise the retirement age from 62 to 64.

https://ca.finance.yahoo.com/news/france-races-avoid-us-style-112432276.html

France faces emergency stopgap legislation to avoid a government shutdown after lawmakers abandoned 2026 budget talks on Friday, failing to agree on a compromise bill. Members of a joint committee of lawmakers from both houses threw in the towel after less than an hour of talks to agree a budget bill. Prime Minister Sebastien Lecornu said he would consult with key political leaders on Monday on the next steps to be taken, adding there was no longer enough time for a parliamentary vote on a budget before the end of the year.

h/t KeepIt