France remains European spending champion – L’Express

France remains European spending champion – LExpress

Unbeatable. For the seventh consecutive year, France has ranked first in European social protection spending. This is what a study by the Directorate of Research, Studies, Evaluation and Statistics reveals (Drees), published this Thursday, December 14.

In detail, France allocates nearly 850 billion euros per year to the payment of social benefits. Or 32.2% of its GDP, compared to 27% for the average of European Union member countries. Italy (29.6%) and Germany (29.2%) complete the podium.

France, however, experienced a less significant increase in spending than the average of the Twenty-Seven in 2022: + 1.7% compared to + 2.5%. “With the gradual exit from the Covid-19 crisis, a certain number of measures put in place to mitigate the health, economic and social consequences end in 2022,” deciphers the Drees in its report. And to specify that “expenses linked to health risk, and more particularly to vaccination and screening” were significantly reduced in 2022, “after exceptionally high growth in 2021” which reached 10.3%.

Slowdown in spending growth

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In addition, the economic recovery following the two confinements made it possible to increase “social protection resources in 2022”. And thus allowed “the balance of social protection to return to surplus” of 11 billion euros in 2022, after two years of historic deficit: 50 billion euros in 2020 and 17 billion euros in 2021.

Despite the small increase, the cost of social benefits continues to increase for several reasons. The main one: the high inflation which has hit the Old Continent since the outbreak of the Russo-Ukrainian conflict, and which has forced the public authorities to revalue certain aid and create new ones.

12,550 euros per inhabitant in 2022

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Perhaps more surprisingly, the French are not the best off in terms of social assistance. They receive on average each year some 12,550 euros, compared to 13,250 and 13,600 for their Danish and German neighbors. France, however, remains above the European average, which stands at 10,100 euros per inhabitant.

“In general, pensions and illness are the main items of social protection in France and in Europe. Family, employment, poverty and housing risks represent only 18% of expenditure in France and 17% in the EU-27 “, details the organization.

As an illustration, France devotes on average 5,550 euros per inhabitant to benefits linked to old age – namely, retirement, minimum old age, retirement provision contract; 850 for family allowances, and 250 euros for housing assistance.

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