PARIS — French Prime Minister Sebastien Lecornu on Tuesday announced the suspension of President Emmanuel Macron’s controversial 2023 pension reform until after the 2027 presidential election, in a move aimed at defusing mounting political pressure and preserving his fragile government. The decision effectively pauses one of Macron’s most emblematic domestic policies, a reform that had raised the retirement age from 62 to 64 and sparked months of mass protests last year. It also marks a setback for the president’s broader economic legacy, leaving his administration vulnerable as France grapples with sluggish growth and strained public finances.
Addressing parliament, Lecornu said, “I will propose to parliament, starting this autumn, that we suspend the 2023 pension reform until the presidential election. No increase in the retirement age will take place from now until January 2028.” He added that the suspension would cost the state an estimated 400 million euros in 2026 and 1.8 billion euros in 2027, requiring offsetting savings to prevent further widening of the national deficit.
The move follows weeks of political brinkmanship, as leftist lawmakers threatened to join opposition factions in a no-confidence vote unless the reform was withdrawn. The Socialist Party hailed the decision as “a victory,” announcing it would not vote to oust Lecornu. The Communists and conservative Republicans also signaled they would allow him to remain in office, easing immediate fears of a government collapse.
Lecornu, Macron’s sixth prime minister in less than two years, made the concession while seeking parliamentary backing for a trimmed-down 2026 budget that includes more than 30 billion euros in spending cuts and targets a deficit of 4.7%. France’s fiscal watchdog cautioned that the projections were overly optimistic. Financial markets responded positively to the announcement, with French bank shares climbing and borrowing costs easing. European Central Bank President Christine Lagarde said the turmoil had not yet triggered instability in the eurozone bond market.
Economist Philippe Aghion, a recent Nobel laureate, warned on Monday that another political rupture could prove disastrous. “If there is another censure, it would be dramatic for France,” he said. “We must absolutely avoid censure and still arrive at a budget.”At just 39, Lecornu has already made history as one of France’s shortest-serving prime ministers, having returned to office only last week after a brief resignation. His latest gamble may have bought him time, but it also underscores the growing fragility of Macron’s presidency as his government fights to maintain control amid unprecedented parliamentary division.