TRUE OR FALSE. Is the State taking advantage, as Xavier Bertrand declares, of inflation to enrich itself?

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franceinfo

For several weeks, the opposition has accused the State of enriching itself thanks to inflation. What is it really? Update with journalist Nicolas Carvalho, present on the set of 19/20 info, Wednesday September 27.

According to Xavier Bertrand, the State would reap a jackpot thanks to the rise in prices. Armêl Balogog, from France Info radio, delved into the figures. “As for the recipes, it’s true. Those linked to VAT have increased. They went from 185 billion euros in 2021 to 200 billion in 2022“, reports journalist Nicolas Carvalho. As for revenue linked to corporate tax, it increased by 14 billion euros in one year, and those linked to income tax by 9 billion.

Many expenses

On the other hand, Xavier Bertrand does not talk about expenses. The European Central Bank has raised key inflation rates. “Borrowing money costs more for the State, which must borrow a lot to repay its debt“, explains the journalist. Retirement pensions are also increasing, as are the salaries of civil servants.

Added to this are energy and food expenses, as well as various state supports. In a report published in June 2023, the Senate Finance Committee estimates them at around 85 billion euros between 2021 and 2023. When Xavier Bertrand talks about a jackpot that the State would gain thanks to inflation, it’s a little more complicated than that“, concludes Nicolas Carvalho.

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