In the French system, the President is elected for a 5 year term, but the president mostly manages external affairs. The president selects a prime minister to manage most domestic affairs, including social programs. 
 
Prime minister Bayrou, faced with a 115% debt to GDP and a 5.8% deficit (well above the 3% EU target), proposed a €44 billion budget cut, targeting a 4.6% budget deficit by 2026. 
 
He proposed a welfare spending freeze, eliminating 2 public holidays (Easter Monday and the May 8th commemoration of the end of World War 2), reducing the number of public servants, and doubling the cap on out of pocket healthcare expenses, along with closing tax loopholes for the wealthy. 
 
The proposals have been so unpopular, the parliament is expected to throw out Bayrou in a no confidence vote on September 8th. 
 
This has thrown financial markets into disarray, with French government bonds and the main stock index, the CAC 40 selling off. 
 
If every attempt at austerity is this politically unpopular, it really diminishes any hopes that France can get its fiscal situation in order, and it calls into question the credit worthiness of the French government. 
 
Once Bayrou is ousted, Macron will have to pick his 7th prime minister of his time in office. Any wagers on how long the next one will last?
 
Sources: https://abcnews.go.com/International/wireStory/frances-latest-political-crisis-ahead-sept-8-confidence-125178767
 
https://www.lemonde.fr/en/politics/article/2025/07/15/what-s-in-french-pm-bayrou-s-proposed-budget-cuts_6743405_5.html


Prime ministers have a short half life in France