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Law of purchasing power: shield to rents, index point ... Latest indecisions

LAW OF PURCHASE POWER. The presentation of the purchasing power bill is approaching and some revaluations are already official! RSA, rental prices, index point… We buy stocks.

[Mis à jour le 27 juin 2022 à 10h14] The purchasing power bill is due on July 6th. Currently, some measures in favor of French purchasing power have been formalized by the executive during this period of galloping inflation (5.2% in May for a year). First of all, various social minimums must increase. 4% To take into account inflation from 1 July 2022. A retroactive increase to 1 July. This relates in particular to active solidarity income (RSA), solidarity allowance for the elderly (Aspa) and allowance for disabled adults (AAH). Such a device would cost the French State about 7 billion euros by the end of 2022. For the first time since 2017, an increase in the index score for civil servants or an extension of the tariff shield on energy will also be part of the first. This is the measures of the second Macron five-year term.

A small innovation should also appear on this bill of purchasing power. It was a proposition that, until then, had mostly won the favor of Jean-Luc Mélenchon and Nupes. It is clear that Emmanuel Macron had to slightly revise his plans after losing an absolute majority in the National Assembly following the last legislative elections. The current government is now a shield for rentwith an upper bound on the increase 3.5% Until the second quarter of 2023. To avoid exposing low-income households to an increase in the reference rent index.

The increase in consumer prices is expected to continue in the coming months. predicts an increase among INSEE 5% and 5.4% next June, enough to force the government to take action by proposing a series of measures to try to support low-income households and low wages. In this sense, some of the proposals that have been talked about for weeks by the Executive should actually come into effect if there is an alliance between the Union and another group in the National Assembly. Here they are:

  • Macron bonus: The President plans to triple the amount of the exceptional purchasing power bonus to reach 6,000 euros in some cases. It concerns employees whose salary does not exceed 3 times the minimum wage.
  • RSA: active solidarity income should depend on the minimum activity of the beneficiaries. The most likely track remains 20 hours of training per month. A way for the manager to encourage a return to employment. It will also be revalued by 4% on 1 July 2022 to account for the rapidly rising inflation in recent months.
  • Solving the index score: The index score used to calculate the gross salary of civil servants (teachers, police officers, etc.) will be raised this summer. The increase should be between 1% and 4%. Since February 2017, the resolution of the index point has not occurred under François Hollande.
  • TV fee: It was a campaign promise that in 2022 the audiovisual fee would be abolished. The amount for each household with a TV was 138 Euros in mainland France and 88 Euros abroad.
  • Indexing pensions to inflation: In addition to the introduction of a minimum pension of 1,100 euros, Emmanuel Macron wants to index pensions to the level of inflation to account for the sharp rise in prices, which must be durable.
  • Fuel bonus: The government could extend the discount of 18 cents a liter of fuel and even create new, more targeted benefits for those who have no choice but to use their cars to get to work.
  • APL: APL will increase by 3.5% on July 1, 2022. A way for the government to support the most humble students and families.
  • Rents: Limiting the rent increase to 3.5% in 2022.
  • Food voucher: its amount can reach 60 euros and should benefit young people aged 18 to 25, as well as low-income families with children. The measure could interest 8 million people in France to allow low fares to consume French, organic and preferably on short circuits. Food control should not come into effect this year, but should be replaced by 150 euros in inflation aid.

As announced by the current government spokesperson Gabriel AttalVarious measures that form part of the purchasing power law should be promulgated”after the legislative electionsOne way to respect the timeline that Emmanuel Macron has set for himself and his various media outings is to regularly announce the implementation of these measures by the summer. Unable to win an absolute majority in the House, the Community group form alliances to get it and pass its laws. The unveiling of the purchasing power bill is scheduled for July 6, and given the fragmentation of the political landscape since the runoff, he is unsure of meeting that date.

The amount of the public service index score has been completely frozen since 2017. Indeed, for more than 5 years there has been no general increase in the wages of civil servants. Only a few categorical increases have been applied by Emmanuel Macron since he was elected President in 2017. But starting this year, the public service index score will increase even more! An increase that should be between 1% and 4%. As a reminder, let us remind you that an overall increase of 1% would cost the State 2 billion euros per year. Various unions were demanding an increase of between 3% and 20%. The final amount of the increase in the index point will be determined on Tuesday, June 28, 2022.