will the government find a compromise with the Republicans?

Geoffrey Branger, edited by Laura Laplaud
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7:51 a.m., July 21, 2022

Always the same problem for the executive: finding the missing voices to pass his texts. After the purchasing power bill still under discussion, we must now agree on the amending finance bill. The fuel aid, the discount of 18 euro cents at the pump could be extended and even improved.

In the National Assembly, are the majority and the Republicans about to agree on fuel aid? The debates on the amending finance bill, aiming to put in place measures to support the purchasing power of the French, arrive. The government has an envelope of 20 billion euros to provide rapid responses. This Thursday or Friday, MEPs will debate fuel aid. The government will have to compromise for the proposals to pass, especially with the Republicans…

The fuel allowance will probably not see the light of day

First of all, the government’s proposal to introduce a fuel allowance for less well-off workers is unlikely to see the light of day. The Republicans are opposed to it, describing this device as “a gas factory which would exclude the middle classes”.

In any case, an obligation for the executive, whatever the option chosen, it will have to come within an envelope of around 4.5 billion euros, the amount that this fuel allowance would have cost.

What can we expect?

What is certain is that the government completely excludes a price freeze or a reduction in VAT as proposed by the National Rally. For the Republicans to follow the majority, the negotiations will notably revolve around the reduction at the pump, today of 18 cents. The right will propose a reduction of 40 cents, to arrive after negotiations around 30 cents, a measure which would cost 4.6 billion euros.

Another point could also appear: to increase the ceiling of the transport premium, optionally given by an employer, from 200 to 400 euros.


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