Overview
- Terra Nova’s note estimates a medium‑term annual adjustment of roughly 3.5%–4% of GDP to halt debt outpacing national income and to hold the ratio near 120%–130% of GDP.
- A one‑point increase in VAT would raise about €11.4 billion per year, while a one‑point rise in the CSG on all incomes could bring in around €16 billion, leveraging broad tax bases.
- The report targets savings linked to retirees for up to about €40 billion over time, citing measures such as partial deindexation of pensions and removal of specific tax abatements while preserving the lowest pensions.
- Even with additional contributions from the wealthiest households and companies of roughly €10–€15 billion each, the plan foresees €2,300–€3,000 per household per year borne by the broader population.
- The note cites debt at 115.6% of GDP at end‑June and frames the required effort as comparable to the future interest bill if the entire €3.4 trillion stock were refinanced at around 3.5%, emphasizing that this is a proposal, not government policy.