In an unprecedented political upheaval, French Prime Minister Michel Barnier has been ousted following a historic no-confidence vote, plunging the country into deep political and economic uncertainty.
Lawmakers from the far-right National Rally (RN) and the far-left France Unbowed united to pass the motion, marking the first such removal of a prime minister since 1962.
Barnier’s minority government faced mounting criticism after bypassing a parliamentary vote on a controversial social security bill. This move, coupled with a divisive budget proposal featuring €60 billion in tax hikes and spending cuts, eroded his support within parliament. Far-right leader Marine Le Pen and far-left MP Mathilde Panot criticized Barnier for worsening France’s economic woes and undermining democracy.
Despite Barnier’s pleas for stability and his defense of austerity measures as necessary to tackle France’s soaring budget deficit, a total of 331 out of 577 lawmakers voted to oust him. Financial markets reacted negatively, with French assets being dumped, bond spreads widening, and the euro weakening. The turmoil also exacerbates the fallout from President Macron’s June snap elections, which led to a divided parliament.
President Macron now faces the challenge of appointing a successor who can navigate the crisis. As per the French constitution, no new legislative elections can be held until July, complicating efforts to secure a functioning majority. Potential solutions include forming a technocratic government or relying on a caretaker government until stability is restored.
Barnier, who holds the record for the shortest tenure of a French prime minister, pledged to continue in a caretaker capacity until a new leader is named. However, the budget deadline of December 20 looms large, posing further risks to France’s fragile political and economic landscape.
In his final address, Barnier warned lawmakers against prioritizing personal ambitions over national interests, stating, “The French will not forgive us for jeopardizing the country’s future.”