France Budget Deficit Widens in Jan-Jul

France’s state budget deficit widened to EUR 145.9 billion in January-July 2026 from EUR 142 billion in the same period last year, as expenditure growth continued to outpace revenue growth. General budget revenues increased 4.2% year-on-year to EUR 201.2 billion, while expenditures rose 4.6% to EUR 284.2 billion. Excluding tax refunds and rebates, net tax revenues increased to EUR 182.9 billion, supported by higher personal income tax, VAT, corporate income tax, and other tax revenues. Non-tax revenues also rose to EUR 18.3 billion, mainly due to the return of unused investment funds. Meanwhile, higher expenditures reflected rising interest rates and inflation, increased military spending, and higher public service energy charges. Special Treasury accounts posted a EUR 22.5 billion deficit, improving from a EUR 27.1 billion shortfall a year earlier.

France's state budget deficit widened to EUR 106.8 billion in January–June 2026 from EUR 100.4 billion in the same period last year, as higher spending outpaced revenue growth. General budget revenues increased 3.7% year-on-year to EUR 184.6 billion, while expenditures rose 5.4% to EUR 240.5 billion. Excluding tax refunds and rebates, net tax revenues climbed to EUR 168.5 billion, supported by higher personal income tax, VAT, and other tax receipts, partly offset by lower energy excise revenues. Non-tax revenues also increased to EUR 16.1 billion, mainly due to the return of unused investment funds. Meanwhile, higher expenditures reflected increased debt servicing costs, rising military spending, higher public energy service charges, and new social contribution compensation payments. Special Treasury accounts posted a EUR 17.6 billion deficit, improving from a EUR 20.8 billion shortfall a year earlier.

France's state budget deficit narrowed to EUR 93.3 billion in January–May 2026 from EUR 94.0 billion in the same period last year, as revenue growth outpaced spending. General budget revenues increased 6.0% year-on-year to EUR 149.5 billion, while expenditures rose 3.5% to EUR 222.1 billion. Excluding tax refunds and rebates, net general budget revenues climbed 6.9% to EUR 147.3 billion, driven by higher corporate tax, VAT, personal income tax, and non-tax receipts. Meanwhile, net general budget expenditures rose 2.9% to EUR 195.0 billion, reflecting higher debt servicing costs, increased military spending, and larger public energy service charges. Special Treasury accounts posted a EUR 20.7 billion deficit, slightly wider than the EUR 20.5 billion shortfall recorded a year earlier.