the Social Security deficit fell to 10.8 billion euros in 2023

The deficit in Social Security and the Old Age Solidarity Fund (FSV) was reduced by almost 9 billion euros in 2023 to reach 10.8 billion, the Minister for Public Accounts declared on Wednesday March 20. The “Secu hole” is nevertheless 2.1 billion euros higher than the forecasts of the Social Security financing law for 2024 (LFSS 2024) adopted in December, due to lower revenue than expected, detailed the government in a press release sent to AFP.

“The deficit improved by 8.9 billion euros compared to 2022”the year in which it stood at 19.7 billion euros, welcomes Bercy, “and has almost quadrupled since the historic low point of 2020”, where expenses linked to the Covid-19 pandemic had caused the Social Security accounts to plunge to -39.7 billion euros. In 2023, spending was “generally compliant” to the forecast of the LFSS 2024, but “receipts experienced significant losses, linked to the macroeconomic deterioration”.

Social Security received fewer contributions and social security contributions from activity than expected (-1.1 billion euros compared to forecast) due to a less dynamic payroll than anticipated in the private sector. And last year’s weak economic growth reduced tax revenues (-1.5 billion euros compared to forecast) for Social Security. On the expenditure side, those of Health Insurance reached 247.8 billion euros in 2023, close to the objective set in LFSS 2024.