Social Security Financing Law for 2026 (December 30, 2025)

France's Social Security Financing Law for 2026, enacted on December 30, 2025, suspends the controversial 2023 pension reform (known as the 'Borne reform') for both 2026 and 2027, effectively pausing the increase of the retirement age to 64 that had been introduced by former Prime Minister Élisabeth Borne. This suspension responds to widespread public and political opposition to the reform. The law allocates an additional €8 billion to health insurance expenditures, reflecting increased demand on the French healthcare system and efforts to sustain public health services. A new paid parental leave — the 'congé de naissance' — is introduced, replacing or supplementing existing birth-related leave schemes to better support new parents financially. Overall, the law targets a reduction of the social deficit to €19.4 billion, representing a consolidation effort amid significant public spending pressures. The legislation balances austerity with social protection commitments, making it one of the most impactful social security budgets in recent years.

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