The Minister in charge of the budget and public accounts, Laurent Saint-Martin, addressed the National Assembly on October 23, 2024. Departments led by the right and center parties announced their intention to suspend the payment of the Active Solidarity Income (RSA) and stop taking on new unaccompanied minors if the government does not reverse the budget cuts planned for 2025. The President of the group of right-wing, center, and independent-led departments, Nicolas Lacroix, stated that they will suspend RSA payments to family allowance funds and stop taking in new unaccompanied minors starting on January 1, 2025, as they believe it is a matter of migration policy. They also plan to take legal action against the government for decisions that impact department finances without their agreement.
On the other side, the group of left-wing led departments held a press conference expressing their concerns about the impact of the proposed budget cuts on the lives of French citizens. President Jean-Luc Gleyze announced plans for mobilizations within their departments, such as hanging a large banner on the building of the Gironde department or staging protests. He emphasized that defending the departmental budget is ultimately about protecting the individuals they assist on a daily basis, highlighting the significant financial losses that departments have already incurred in recent years.
Departments are facing a significant increase in social expenses related to child protection, aid for dependent elderly individuals, and people with disabilities, while experiencing a decline in revenue from real estate transactions and lower-than-expected VAT receipts. The 2025 budget proposal includes a 5 billion euro effort for local governments, with departments bearing a significant portion of that burden at 2.2 billion euros. Despite their fragile economic situation, departments are being asked to make substantial sacrifices, leading them to demand that the government reconsider the planned revenue deductions and VAT dynamics freeze.
The issue at hand has sparked a contentious debate between departments and the government, with both sides standing firm in their positions. The threat to suspend RSA payments and stop taking in new unaccompanied minors has raised concerns about the impact on vulnerable populations and the effectiveness of social welfare programs. The financial strain faced by departments highlights the challenges of balancing social welfare needs with budgetary constraints, raising questions about the prioritization of spending and resource allocation in local governance.
The situation reflects broader tensions between different levels of government and political ideologies, with departments representing the front lines of social welfare services and facing growing pressure to meet increasing demands with limited resources. The standoff between the right and left-led departments underscores the complexities of governance and the need for dialogue and cooperation to address the underlying financial and social issues at play. Ultimately, the outcome of this dispute will have implications for the effectiveness of social welfare policies and the well-being of vulnerable populations in France.