France’s Fiasco – FEE

Prime Minister Bayrou loses confidence vote and resigns.

France’s government imploded on Monday, September 8, 2025, when Prime Minister François Bayrou lost a climactic confidence vote in the National Assembly (364 votes against to 194 in support) bringing down his minority government and plunging the country deeper into a constitutional and fiscal crisis.

As rapid as this collapse appears, the origin traces back to President Emmanuel Macron’s snap legislative elections in 2024, intended to consolidate his authority. Instead, the move backfired, producing a sharply fragmented parliament, with no party achieving a majority.

National Rally, a right-wing populist, nationalist party fronted by Jordan Bardella, emerged as the largest single party with 142 seats (an increase of 53), while a left-wing “New Popular Front” coalition gained significant representation with 180 seats. Macron’s centrist bloc, his political anchor, was reduced to a diminished third place.

This fractured landscape has since rendered governance almost Sisyphean. Personal animosity trumped parliamentary decorum when the left-wing members even refused to shake hands with their right-wing counterparts. Without a clear majority, Bayrou—a centrist veteran brought in to navigate this minefield—found himself perched atop a government of fragile alliances and fraught tolerance.

Bayrou, at age 74, Minister of National Education from 1993 to 1997 and representative of the Pyrenees-Atlantiques (from 1986 to 2012), is significantly older than the average parliamentarian (49). That gap left him out of touch with radicalized younger deputies—so much so that political commentator Didier Maisto described him as an “archetype of a man from another era.”

Beyond Bayrou’s inability to connect with the parliament he led and the country he was theoretically governing, France’s economic imbalance formed the crucible of this collapse. By mid-2025, France’s public debt stood at approximately 113.9% of GDP, one of the highest in the Eurozone, with forecasts pointing to 117% by year’s end. The mounting debt threatens to escalate to €3.3 trillion, while debt servicing is projected to top €100 billion by 2029—the largest budget line for France.

Bayrou’s government proposed tough measures (deep cuts in pensions and healthcare, along with broader fiscal consolidation) to tame the rising tide. But political resistance was fierce: the coalition needed to pass a €44 billion consolidation package but couldn’t muster sufficient support. The vote became the breaking point.

In a final, impassioned speech—Bayrou warned of the “reality of fiscal risk” and claimed that France’s “very survival” was at stake. But it wasn’t enough. As the vote unfolded, legislators across the spectrum joined to unseat him, bringing together disaffected centrists, left-wing critics, and national-populist opponents.

The result was dramatic: Bayrou lost, and tendered his resignation to Macron on Tuesday afternoon. President Macron must now appoint a fifth prime minister in under two years, to attempt to steer a deeply divided assembly.

The revolving door at the PM’s office is toxic for governance, policy continuity, and public confidence. It further imperils the remaining two years of Macron’s term; and with no stable majority, passing a credible budget or pursuing structural reform is near-impossible. Markets, already jittery, are demanding higher risk premiums for French bonds (some now costlier than Spain’s and approaching Italy’s), raising concerns over credit ratings and long-term borrowing.

France now risks becoming the weak link in the Eurozone. Compared to Italy and Greece, which, despite high debt, maintain primary surpluses, France’s negative trajectory is particularly worrisome.

The inability to build a coalition for meaningful reforms erodes democratic legitimacy. Leaders from both left and right have seized the moment: Jean-Luc Mélenchon and Mathilde Panot of La France Insoumise demand a more parliamentary-centric governance; while the National Rally cries for a dissolution of the Assembly and fresh elections. Macron has ruled out another snap election, but with no viable majority and growing disenchantment, his political capital is rapidly eroding.

Only nine months after taking office, Bayrou’s government collapsed under the weight of France’s unsustainable public finances, institutional gridlock, and political fragmentation.

This is more than a domestic implosion: it’s a warning to the entire Eurozone that if France—Europe’s second-largest economy and founding linchpin—cannot govern itself, the ripple effects could be destabilizing.

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