France’s National Assembly has toppled the government over its debt-cutting agenda, forcing President Emmanuel Macron to seek a new prime minister amid rising calls for snap elections and mass public unrest.

France plunged deeper into political uncertainty on Monday after the National Assembly voted down Prime Minister François Bayrou’s government, rejecting his economic strategy aimed at tackling the country’s soaring debt and deficit. Bayrou, who took office just nine months ago, is expected to submit his resignation to President Emmanuel Macron on Tuesday.

The vote of no confidence, with 364 votes against Bayrou and only 194 in favour, reflects the legislature’s broad rejection of his proposed €44 billion in budget savings. The prime minister had framed the vote as a necessary step to bring public finances in line with EU rules, warning lawmakers that rising expenditures and debt would only grow more severe if left unchecked.

"You have the power to bring down the government, but you do not have the power to erase reality," Bayrou told parliament before the result. He added, "Reality will remain relentless: expenses will continue to rise, and the burden of debt, already unbearable, will grow heavier and more costly."

Macron, who is under increasing pressure from both the far right and the hard left to dissolve parliament or even resign, will now need to appoint a fifth prime minister in less than two years. His office said a new premier would be chosen in the coming days. However, the fragmented nature of the current parliament makes it unlikely that any incoming government will be able to command a stable majority.

Potential successors could come from Macron’s own centrist alliance, the conservative ranks, or even moderate socialists. A technocratic option is also on the table. But Finance Minister Eric Lombard warned that forming a new cabinet would likely result in a watered-down version of the fiscal reforms Bayrou had proposed.

The euro zone’s second-largest economy is already under scrutiny from rating agencies. Fitch is due to review France’s credit rating on 12 September, with S&P Global and Moody’s scheduled to follow in October and November. A downgrade would make it more expensive for France to borrow, further straining public finances. At 114% of GDP, France’s debt burden is among the highest in the bloc, and it is running a deficit nearly double the EU’s 3% ceiling.

The collapse of the government also risks diminishing Macron’s influence on the European stage, as global economic and security tensions rise. At home, his presidency faces mounting resistance. Marine Le Pen called the vote "the end of the agony of a phantom government" and reiterated her demand for snap elections. Jean-Luc Mélenchon of France Unbowed added on X, "Macron is now on the front line facing the people. He too must go."

Meanwhile, the Socialists have proposed a rival fiscal plan that includes a 2% wealth tax on fortunes more than €100 million, aiming to raise €22 billion. But the proposal is unlikely to align with Macron’s pro-business reform platform.

Beyond the political elite, discontent is rising on the streets. A protest group called "Bloquons Tout" is organising a day of national disruption on Wednesday, with trade unions planning walkouts next week.

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