Higher interest rates will cost the French government an additional €10 billion to finance its debt servicing expenses. Prime Minister Lecornu projects that a budgetary effort of approximately €54 billion is necessary for 2027 to stabilize public finances, he told Le Figaro.

The 2027 budget deficit will exceed 6.5% of GDP if the government fails to implement those corrective measures. The projections identify borrowing costs as a significant contributor to the fiscal gap.

The Prime Minister's warning comes as the administration prepares the 2027 fiscal cycle. No specific details on the composition of the €54 billion budget effort, such as planned spending cuts or tax increases, were provided in the remarks.