Le Pen pledges spending cuts in debate with French business leaders

Paris, France. Far-right leader Marine Le Pen pledged to put France’s public finances back on track if elected president next year during a debate with rival candidates organised by the country’s main business lobby, MEDEF.

Public finances and debt

The debate began with Le Pen, left-wing candidate Jean-Luc Melenchon and other contenders smiling and shaking hands, but became more tense as candidates accused one another of proposing risky policies on debt and pensions.

“The government must drastically cut its spending,” Le Pen said when asked how she would address France’s finances. While Melenchon has said he would “chuck” some of France’s debt in the fire, Le Pen said she would repay it.

Since the pandemic, successive French governments have struggled to bring public finances under control. France has one of the highest fiscal deficits in the euro zone, while its debt has reached a record 117% of national output.

Election outlook

Opinion polls have consistently projected the anti-immigration, eurosceptic Le Pen to win the first round of the presidential election next April by a large margin and to be well placed for the May run-off.

Recent polls suggest Melenchon could face Le Pen in the second round, while other assessments have pointed to centre-right former Prime Minister Edouard Philippe reaching the run-off.

The debate was seen as an important test for Le Pen before business leaders, who have long been sceptical of her economic credentials. She said details of her economic programme would be presented in the coming weeks.

Rival proposals and market concerns

Centre-left candidate Raphael Glucksmann received applause after criticising Le Pen’s immigration plans, saying lower immigration would not resolve France’s fiscal problems.

Le Pen also clashed earlier with former prime minister Gabriel Attal, a centre-right candidate, over debt.

French blue-chip stocks fell to a one-month low earlier in the day as investors considered the forthcoming budget and political risks ahead of the 2027 election.

Melenchon said France could reduce its deficit by ending all subsidies to businesses.