French PM Lecornu reportedly aims for EUR 43bln in new savings in the budget, BFM TV reports; The government intends to reduce the deficit to 5% of GDP by 2027

Government is forecasting higher revenues from VAT and income tax, and lower revenues for businesses, in the 2027 draft budget. Government wants to put an end to the "windfall" subsidies for renewable energy. Extend the tax on sugary drinks. Savings on welfare support and healthcare. The government wants to lower the 10% tax allowance ceiling for retirees. The government is proposing to freeze family allowances in 2027. The government hopes that this freeze on family allowances will save 500 million euros, and also seeks a 600 million euro reduction in spending on the back-to-school allowance.