Economy Minister Roland Lescure during the government's question session at the Assemblée Nationale in Paris on January 27. JULIEN MUGUET FOR LE MONDE
Despite some mistakes, leakages and fraud, the French tax machine is running fairly smoothly. Funds have continued to flow into public coffers, as demonstrated by the state accounts for 2025 published by the Ministry of Economy and Finance on Tuesday, February 3. After two years of dramatic underperformance compared to forecasts, robust tax receipts allowed the government this time to meet its deficit target, and even slightly beat it. This was not a foregone conclusion.
Overall, the deficit remained massive. The state spent €124.7 billion more than it brought in over the course of 2025. In other words, for every €100 that came into the state coffers, €131 went out to finance schools, the police, the army, hospitals, interest payments on the debt, etc. The difference was covered by ever-larger loans at an increasing cost.
The good news was that the deficit shrank by €31.6 billion, or 20%, in just one year. This decrease was even more pronounced than in the most recent forecasts. "This is the largest annual drop in the deficit to be financed since 2020," said Amélie de Montchalin, the minister for public accounts.
