In Paris on 5 October, President Macron’s office revealed the lineup for the new French government under Prime Minister Sébastien Lecornu. Roland Lescure, a close ally of Emmanuel Macron, was tapped as finance minister, while the outgoing finance chief, Bruno Le Maire, was reassigned to defence.

Though many senior ministers survived the reshuffle: Jean-Noël Barrot continues at foreign affairs; Bruno Retailleau remains interior minister; Gérald Darmanin still holds the justice portfolio, the stakes on the economic front have just skyrocketed.

Lescure, who comes from a left-leaning background, and Prime Minister Lecornu now face the tough task of brokering a budget deal for next year in a deeply divided parliament as the year-end deadline looms.

Negotiations have become far more complicated, demanding delicate concessions across three ideologically opposed blocs in the hung legislature.

Lecornu’s two immediate predecessors were forced out over their efforts to cut France’s budget deficit, now the highest in the eurozone, at a moment when bond markets and rating agencies are scrutinising every move.

Trying to court Socialist support, Lecornu floated a wealth tax long demanded by the left, but expressly excluded business assets so as not to undermine companies or risk jobs.

He also explicitly ruled out using special constitutional powers to force the budget through parliament without a vote.

Copied