Informations Rapides · 27 March 2026 · n° 78

In 2025, the public deficit stands at 5.1% of GDP, the public debt at 115.6% of GDP General government national accounts - first results - year 2025

The general government deficit for 2025 stands at €152.5 billion, accounting for 5.1% of gross domestic product (GDP), following 5.8% in 2024 and 5.4% in 2023. Revenues accelerated in 2025: rising by 3.9%, after +3.2% in 2024. The compulsory tax rate rose to 43.6% of GDP, following 42.8% in 2024. Expenditure slowed down: it increased by 2.5% in current prices, following a 4.0% rise in 2024. As a percentage of GDP, expenditure increased, and reached 57.2% of GDP after 57.0% in 2024 and 56.8% in 2023. General government debt in the Maastricht sense reached 115.6% of GDP by the end of 2025, after 112.6% at the end of 2024.

In 2025, general government expenditure increased by 2.5%, after +4.0% in 2024 and +3.7% in 2023. This growth remained slightly higher than the +2.0% increase in GDP (in current prices) in 2025 (of which +0.9% in volume and +1.1% in price).

Operating expenditure slowed: +1.4% (or +€7.8bn) after +4.2% in 2024. Intermediate consumption slowed down sharply (+0.4% following +2.8%), against a backdrop of falling inflation. Remuneration slowed (+1.9% after +4.8%), after two years of strong growth, linked in particular to the stability of the public sector pay index in 2025.

Social security benefits accounted for nearly 60% of the increase in general government expenditure, like the previous year. Less dynamic than in 2024 (+5.4%), they increased by €23.6bn in 2025, or +3.2%. Indeed, against a backdrop of falling inflation from 2024 onwards, benefit increases, which are indexed to the previous year’s inflation, were less pronounced. Pension expenditure, which constitutes the largest item of social benefits, has thus slowed down (+3.3% in 2025, or +€13.2bn, following +6.9% in 2024), due in particular to the 2.2% increase in basic pensions on 1st January 2025. Expenditure on several welfare benefits and allowances (active solidarity income “RSA”, benefits for family and disability benefits) were relatively flat in 2025 compared with 2024, with a 1.7% increase in social and family benefits on 1st April 2025. Unemployment expenditure was virtually stable (-€0.1bn), with the deterioration in the labour market being offset by the effects of the latest unemployment insurance reforms. As for reimbursements for healthcare professional fees and drugs (doctor’s appointments, medicines, etc.), they accelerated slightly to +4.6% (after +4.3% in 2024, or +€5.5bn), whilst other healthcare expenditure slowed, as seen in daily sickness allowances (+3.9%, or +€0.8bn, after +6.8%) and incapacity and disability benefits (+3.2%, or +€0.4bn, after +5.4%).

Expenditure on subsidies and other transfers fell for the second year: -0.6% in 2025 (or -€1.1bn), following -6.2% in 2024. Expenditure on support for businesses and households introduced to cushion the rise in energy prices between 2022 and 2024 came to an end, with the withdrawal of the price cap on electricity (-€3.0bn) and gas (-€0.5bn). Expenditure on vocational training was down (-€1.1bn), particularly in relation to apprenticeships. Investment aid fell slightly (-€0.7bn). Conversely, subsidies for renewable energy producers rose sharply (+€4.2bn), due to the fall in the market price of electricity. Transfers to non-profit institutions serving households slowed sharply but remained on an upward trend (+€0.4bn after +€2.0bn in 2024), driven by local authorities whilst direct State expenditure fell.

Interest expenditure rose sharply again (+11.2% after +13.9% in 2024). Up by €6.bn, it stands at 2.2% of GDP. This increase was mainly driven by the State (+€6.8bn), due to higher borrowing volumes coupled with a rise in the average interest rate.

General government investment slowed further (+3.2% after +6.5% in 2024 and +8.7% in 2023). It remained strong in municipalities (+7.6% after +11.5% in 2024), whilst it slowed markedly in other central government bodies (OCGB) (+1.5% after +6.0% in 2024) and fell sharply in the departments (-12.7% after -1.4% in 2024).

In total, general government expenditure increased by €41.4 bn in 2025. Excluding interest expenditure, it rose by €34.9bn.

In 2025, general government revenue accelerated due to higher taxes. In total, revenue increased by 3.9% (after +3.2%), faster than nominal GDP (+2.0%).

Taxes (before tax credits) grew strongly, with an increase of 4.6% (+€38.7bn), following +2.1% in 2024.

VAT revenue grew slightly in 2025, as in 2024 (+0.5% or +€1.1bn, after +0.7%), given the undynamic household consumption in 2025.

Other taxes on goods and services accelerated and rose by 8.8% (or +€10.3bn, following a 5.3% increase in 2024), driven by excise duties on electricity (“TICFE”, +€3.5bn) and the rebound in property transaction duties (+€3.0bn).

Taxes on labour slowed but remain robust: +3.3% (or +€1.9bn) after +5.5%.

Other taxes on production rebounded after a downturn in 2024 (+1.3%, or +€0.9bn, after -1.6%). The levy on the marginal return from electricity generation no longer generates revenue in 2025 (-€0.7bn), but this decline was offset by property tax revenue, which slowed but remained robust (+€1.2bn).

Current taxes on income and wealth rose sharply: +6.6% in 2025 (+€24.2bn) after +2.4%. Income tax rebounded (+7.9% or +€7.6bn, after -0.9% in 2024), with the mechanism of advance payments and final settlements under the pay-as-you-earn scheme amplifying changes in household income. Corporate tax rose (+3.7% or +€2.1bn, after +1.3% in 2024). The CSG and CRDS slowed down (+2.2% or +€3.6bn, following a 3.9% increase in 2024), in line with payroll. Three new taxes introduced in 2025 contributed to the growth: the one-off levy on large corporations (+€7.5bn), the tax on share buybacks (+€0.5bn) and the differential levy on high-income households (+€0.4bn).

Actual social security contributions slowed slightly to +3.2% (+€13.9bn) after +4.3% in 2024. Their growth rate exceeds that of the total payroll, due to reforms on contribution relief, the increase in employer contribution rates for local government and hospital staff, and the observed decompression of the pay scale.

Property income slowed (+5.5% or +€1.2bn, after +11.5% in 2024) due to lower interests on loans and other investments in 2025, and despite the rise in dividends. Finally, revenue from sales and production also slowed (+2.6% or +€3.3bn, after +5.6% in 2024).

The State deficit fell by €23.0bn in 2025, to €128.1bn. Its revenue grew strongly (+6.7%), partly due to the introduction of new taxes. Although contained, expenditure accelerated (+1.2%) following a sluggish 2024 (+0.5%) due to the reduction in support measures for households and businesses in response to rising energy prices. It is driven by social benefits expenditure (including civil servants’ pensions) and interest expenditure.

In 2025, the deficit of other central government bodies (OCGB) increased slightly to €2.1 billion.

The deficit of local government fell by €2.2bn to €15.6bn. Revenue grew at the same rate as in 2024 (+2.3%, or +€7.2bn in 2025). It was supported by levies on property transactions allocated to municipalities and departments, which rose anew, as the recovery in the property market was coupled with an increase in the rate of transfer duties voted for by a large number of departments. Expenditure slowed (+1.5% in 2025 or €5.0bn, following +4.7% in 2024): expenditure on intermediate consumption fell in municipalities and departments; investment expenditure decreased in departments and regions but increased in municipalities

The balance of the social security deteriorated by €7.9 billion in 2025 to reach -€6.7bn, despite the usual surplus of Cades (+€15.4bn). Revenues slowed (+2.4% in 2025 after +3.9%), as did the total payroll. Revenue grew at a slower rate than expenditure (+3.4% in 2025 or +€26.2bn, after +5.5%), showing in part structural growth due to the ageing population (affecting pension and healthcare expenditures) but also a reduced dynamic due to smaller increases in social benefits as compared to the previous years.

General government debt in the Maastricht sense – that is, consolidated gross debt in nominal terms – rose by €154.4bn in 2025, and stands at €3,460.5bn. Expressed as a percentage of GDP, the public debt stands at 115.6%, following 112.6% at the end of 2024 and 109.5% at the end of 2023. The increase in the debt was accompanied by a decrease in cash flow positions (-€19.9bn). As a result, net public debt rose by a greater amount than gross debt, +€177.8bn, and stands at 108.4% of GDP, after 104.5% in 2024.

The increase in public debt in 2025 was mainly due to the rise in State debt (+€136.2bn), which borrowed through short- and long-term securities (+€135.5bn).

The contribution of local governments to public debt also rose (+€13.2bn), in the form of long-term negotiable debt securities (+€3.0bn) and long-term loans (+€10.2bn). The increase in local government debt was mainly driven by municipalities (+€4.9bn), departments (+€2.1bn), regions (+€2.4bn) and Île-de-France Mobilités (+€1.8bn). The remainder of the increase is accounted by local trade unions and other local government bodies.

The contribution from social security also increased (+€5.7bn). Cades structurally reduced its debt (-€14.6bn), whilst the debt of Urssaf Caisse Nationale (formerly ACOSS) increased (+€18.1bn). In total, outstanding debt in the form of negotiable debt securities increased by €6.5bn, whilst that in the form of loans decreased by €0.9bn.

By contrast, OCGB’s debt fell (-€0.6bn), notably SNCF Réseau reduced its debt (-€1.4bn), as did the Caisse Nationale des Autoroutes (-€0.9bn), whilst France Compétences increased its debt by €0.7bn. In total, long-term securities fell by €1.5bn whilst loans rose by €0.9bn.