Infotech Tariff shield, business aid, energy transition… What the 2023 draft budget contains

Tariff shield, business aid, energy transition… What the 2023 draft budget contains

“France is close to the euro”said Monday, September 26, the Minister of the Economy Bruno le Maire, presenting the draft budget for 2023 to journalists. “I want to draw a red line”he warned: “No new expenditure” cannot be introduced during the parliamentary debate if it is not “financed to the nearest euro”, warned the minister. Here are the main points.

A tariff shield maintained

As announced by the government, a tariff shield on electricity and gas prices is maintained in 2023, in a less protective version, however, than in 2022. The increase in regulatory tariffs will be 15% (on 1er January for gas and 1er February for electricity), while they would have doubled without public intervention, according to Bercy.

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The cost of the energy shield is estimated at 45 billion euros in 2023. But Bercy estimates that the real cost for the State will amount to only 16 billion euros (11 for gas and 5 for electricity) , thanks to the compulsory levies on the producers of renewable energies, which must return to the State a part of the profits related to the explosion of the courses.

Commitments for the energy transition

In total, the budget for “sustainable ecology, development and mobility” will be 26.5 billion euros in 2023, compared to 20.6 billion in the first 2022 finance law and 29.9 billion according to the amending finance law voted in the summer, which includes the rebate system on each liter fuel, said the Minister of Public Accounts Gabriel Attal.

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The budget for Ecology includes several flagship measures announced by the government, such as the Bike Plan (250 million euros) or the Green Fund of 1.5 billion euros for local authorities. The MaPrimeRénov’ system, intended for energy renovation, is increased to 2.5 billion euros (+500 million).

Support for the greening of the vehicle fleet is allocated 1.3 billion euros. This includes the “social leasing” measure, a low-cost electric car rental scheme reserved for the least privileged households.

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Finally, France will no longer give guarantees for export projects on any fossil energy (exploration, refining, transport).

Increase in the number of civil servants

The government plans 10,764 additional civil servant positions for the State and its operators in 2023, and promises to stick to its mandate of “stability” workforce over the five-year period.

These increases will mainly benefit the Ministry of the Interior: the Prime Minister announced at the beginning of September an increase of “8,500 police and gendarme posts” in five years in France including “3,000 from 2023”which can be found in the finance bill (PLF).

Just over 2,300 full-time equivalent jobs are assigned to the Department of Justice.

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“The contract teachers do the job, they are no less well trained than the others”

On the National Education side, 2,000 more jobs are planned, in particular to recruit AESH (educational and social support) to support students with disabilities. And an envelope of 935 million euros will be released to increase the salaries of teachers.

Within the scope of the Ministry of Defence, the workforce will be reinforced with more than 1,500 new jobs, in particular “in the fields of intelligence and cyber defense”. And a thousand additional positions are also planned for the Ministry of Labor.

Business aid

True to its promise to lower production taxes, the government confirms that the abolition of the business value added contribution (CVAE) will take place over two years, with a loss of revenue of 8 billion in 2023 and 2024.

Three billion euros are provided for in the budget to protect companies from rising energy prices. Some 6 billion euros of commitments are registered under France 2030, the program intended to promote innovation, indicated Bruno Le Maire.

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“In return, we want the big industrial companies to continue their movement” relocation and establishment of sites in France, warned the Minister to the attention of French companies.

Increase in the “immigration, asylum and integration” budget

5,900 accommodation places will be created for refugees and asylum seekers. The 2023 budget provides for a total increase of 6% in the “Immigration, asylum and integration” envelope.

Furthermore, the PLF “consolidates the dynamic engaged” in the fight against illegal immigration, with “the continuation of an ambitious plan to open places in administrative detention centers (CRA)”where illegal immigrants are detained pending deportation.

An “emergency envelope”

“Foreseeing”the government has set aside a “relief envelope” for possible additional aid in the event of a new surge in oil prices, and therefore fuel at the pump, even if according to Bruno Le Maire, “not the most likely case”. The amount of these unallocated appropriations is a little less than 2 billion euros.

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Any help in 2023 would be “targeted […] on those who have no choice but to take their vehicle to go to work”said the minister.

The pension reform has not yet been presented in the 2023 draft budget. The executive will decide ” by the end of the week “ whether or not he includes the pension reform in his budgetary texts, presented Monday in the Council of Ministers for ” protect “ the French in particular of galloping inflation, and whose examination in Parliament promises to be stormy.

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