Defense budget faces approval risk

The 2027 defense budget, currently under review by the National Assembly, is encountering strong opposition and may not pass. If it fails, Minister of Defense Catherine Vautrin has warned it would halt ongoing military investment and training efforts.

Budget increase and legal limits

The proposed 2027 budget includes 63 billion euros for the armed forces, an 11% increase from the previous year. However, if not approved, the funds would automatically remain at the 2026 level, effectively freezing growth and preventing long-term planning.

Key funding areas and risks

The budget allocates over 4 billion euros for ammunition, 1 billion for air defense, and 700 million for drones and robotics. Thiériot warned that without this funding, France would lack essential capabilities as drone threats rise globally.

Geopolitical and alliance concerns

Vautrin emphasized that a frozen budget would signal weakness to allies, especially as Europe refocuses on defense. Thiériot noted that France would fall behind Germany, which plans to spend 120 billion euros on defense this year.

Vulnerability to drone attacks

Thiériot raised concerns about French cities being vulnerable to drone attacks, citing incidents in the Netherlands and Poland. He warned that delays in drone development could leave cities like Toulon and Marseille exposed to such threats.

Impact on small businesses and jobs

A budget freeze could affect 4,500 small and medium enterprises that rely on French defense contracts. These companies have already planned for 40 billion euros in increased orders, and the subcontracting sector could lose around 200,000 jobs.

Legal path for budget approval

Thiériot explained that a special law or specific legislative process was not needed, as the budget could continue based on last year’s legal framework. He argued this would allow progress regardless of political instability.