French Prime Minister Barnier to Resign After No-Confidence Vote

French Prime Minister Michel Barnier is set to submit his resignation to President Emmanuel Macron following a no-confidence vote in parliament on Thursday, which marks the end of his brief tenure. The resignation comes after Barnier’s government was ousted by a majority of lawmakers, led by the hard-left and far-right factions, including Marine Le Pen’s party.

Barnier, who is poised to be one of France’s shortest-serving prime ministers, arrived at the Elysee Palace just after 0900 GMT to formally offer his resignation, as required by the French constitution after such a parliamentary defeat. The no-confidence motion, which passed on Wednesday, was a direct consequence of Barnier’s proposed 2025 budget, which included controversial austerity measures aimed at stabilizing France’s finances but were rejected by a majority in parliament.

The rejection of the budget plan has led to the automatic renewal of the current 2024 budget, leaving the country without a clear financial framework for next year unless a new government can urgently pass a revised budget before Christmas — a highly unlikely outcome.

Political Instability Deepens

The fall of Barnier has deepened France’s ongoing political crisis, exacerbated by a fragmented parliament following the snap elections this summer, which resulted in a hung parliament and the far-right gaining significant power. Analysts are warning that France is entering an era of political instability, with the country facing a potential financial crisis due to the lack of a 2025 budget. Moody’s ratings agency also expressed concerns, stating that the political deadlock would reduce the likelihood of fiscal consolidation.

The Paris stock market experienced an initial dip on Thursday before recovering slightly, while yields on French government bonds rose, signaling increasing concerns in financial markets.

Macron’s Next Move

President Macron now faces the urgent task of finding a viable successor for Barnier. Some of the potential candidates include loyalist Defence Minister Sebastien Lecornu, centrist ally Francois Bayrou, and former Socialist Prime Minister Bernard Cazeneuve. Macron is under pressure to act quickly, with National Assembly Speaker Yael Braun-Pivet urging him not to let the country “drift” during this critical period.

Macron, who has more than two years left in his presidential term, is also facing calls for his resignation from some of his political opponents, including Mathilde Panot, head of the hard-left France Unbowed party, who has called for early presidential elections to resolve the political impasse.

Impact on Public Services and Strikes

Despite Barnier’s fall, widespread strikes across transportation, education, and public sector services remain in place, with workers voicing their dissatisfaction over the proposed austerity measures and the broader political chaos.

This turmoil comes at a particularly delicate time, as France is set to reopen the Notre-Dame Cathedral on Saturday, following its 2019 fire. The event, attended by prominent international guests including former US President Donald Trump, will be a major diplomatic and cultural occasion for Macron, but the political crisis threatens to overshadow it.

As Barnier steps down, the future of France’s government remains uncertain, with political forces and financial markets closely watching for the next steps in what is becoming a tumultuous period for the country.