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Édouard Philippe proposes tax cut and new family allowance starting with first child

Presidential candidate Édouard Philippe announced plans to overhaul family benefits, offering a €3,000 tax reduction for three years after a child's birth.

During an appearance on the programme L'Heure de Vérité, Édouard Philippe called for a total revision of France's family allowance system, insisting that support should begin with the first child. He outlined a proposal for a uniform allowance of €350 per child and a tax reduction of roughly €3,000 for the three years following a birth, targeting middle-class households that typically pay that amount in income tax. Philippe also floated a zero-interest loan to help families relocate for larger housing and suggested exempting social-security contributions for employees who agree to work longer hours, arguing it would boost earnings and lower labor costs for firms.

He reaffirmed his commitment to reduce the national deficit to below the 3% threshold, aiming for about 2% by the end of a five-year term. These measures form part of his broader economic platform as the Horizons candidate for the presidential election.

Why it matters

The proposals could reshape family support and tax policy for millions of French households.

In this story

family allowancestax reductionmiddle-incomezero-interest loandeficit targetsocial-security exemptionpresidential candidate
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