Government plans to end fiscal incentives for start-ups, while the 2025 increase in the research budget is less than previously agreed
Michel Barnier, prime minister of France. Photo credits: Service photographique de Matignon / info.gouv.fr
Start-ups in France are calling on the government to reverse plans to cut fiscal incentives as proposed in its 2025 budget, which is up for discussion in the National Assembly this week.
The proposed budget also fails to deliver on a €500 million increase to research spending written in law as part of long-term objectives set in 2020.
The measures are part of proposed spending cuts of €60 billion, as France looks to push through an austerity budget to reduce its deficit from 6.1% to 5% of GDP.
Under the proposal, the exemption from employer contributions for innovative start-ups would be scrapped, while innovation tax credits for SMEs investing in development work such as building prototypes or installing pilot production…
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