Barnier, Clinging to Power, Floats Tax Hike for Wealthy
Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.
France’s new prime minister Michel Barnier dangled the prospect of tax increases on wealthy individuals and large corporations as he described the nation’s fiscal situation as “very grave.” The comments promise to test his already fragile grip on power only two weeks after being asked to lead the country’s fractious parliament. The parties backing his government have said that one of their conditions for support is that he doesn’t embark on tax increases. Even before Barnier’s comments yesterday, the new administration solicited an angry response from across the French political spectrum. Amid calls for a no-confidence vote, Marine Le Pen’s National Rally, the largest party in the parliament, warned Barnier’s cabinet has “no future.”