During a 13-minute televised address to the nation on Monday night, the French president promised a minimum wage increase and tax cuts, including for low-income pensioners, in an attempt to appease the Yellow Jacket protesters. The announced measures could push France's budget-deficit-to-GDP ratio to 3.5 percent, well over the EU's 3 percent ceiling, according to an anonymous government source quoted by French daily Les Echos. [...]
"But but but, Macron said he's cutting taxes and increasing public spending ... does [Economic and Financial Affairs Commissioner Pierre] Moscovici agree?" Claudio Borghi, a top League MP and chair of the lower house's budget committee, tweeted after Macron's announcement. [...]
However, it would be a lot more complicated for the Commission to press on with its plans to punish Rome for its extra spending while sparing France. Macron's potential EU rules breach will also prove harmful for the ongoing negotiations on a eurozone budget, which France has spearheaded.
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