The government promises to keep lowering taxes. As for pensions, it will be necessary to work until the age of 64 to receive a full pension, even if the official retirement age remains 62.
One in two tax households will benefit from tax cuts: 27 billion euros in total. Income tax will go down. The first tranche will go from 14 to 11%, or an average gain of 350 euros per year for 12 million households. Households affected by the second tranche, at 30%, will save 180 euros per year on average. For the better-off, nothing changes. The housing tax will be abolished for 80% of French people by 2020. It will gradually decrease between 2021 and 2023 for the others.
Retirement, sensitive reform
The government also wants to tackle the retirement age. The legal retirement age at 62 will be maintained, but it will be supplemented by a pivotal age to be reached in order to have full retirement at 64 or 65. Those who leave earlier will suffer a discount, those who continue will see their retirement increased. For the CFDT, the measure is unacceptable. The Prime Minister confirmed the disappearance of the special regimes, merged into a new general regime.