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The government has decided to set up an inflation allowance of 100 euros to allow many French people to get by, especially in the face of rising fuel prices. A measure that was discussed at length, ministers were divided on the issue.
The government wanted to react to the rumbling that was mounting among the French, in particular because of the rise in fuel prices. Thursday, October 21, Prime Minister Jean Castex announced the introduction of an inflation allowance of 100 euros for the French earning less than 2,000 euros net per month. “It’s expensive, but still less than a drop in fuel taxes“, we recognized in Matignon during the discussions. A ministerial adviser told France Télévisions that “no one has ever been convinced“ by this measure. “We always wanted to favor those who work“, he adds.
A minister believes that by binding this bonus “only on fuel, it gives the impression that the State must systematically compensate for the slightest increase.“ A close friend of Bruno Le Maire affirms that the Minister of the Economy received a call from the Prime Minister to stress to him that “it was complicated not to integrate retirees“ in this help. “It actually changes the political meaning of the measure“, considers this close. In total, the inflation compensation will cost the State 3.8 billion euros. “If it were up to me, we wouldn’t have done anything: it costs a crazy dough for zero political profit“, judge a minister.