France to Cut 50 Billion in Spending over Two Years

That will anger more people than the affair


French President Francois Hollande said on Tuesday he would cut public spending by 50 billion euros ($68 billion) in 2015-17 and ease the tax burden on companies by phasing out hefty family welfare payroll charges.

The pledges followed a New Year's address in which the Socialist president vowed to accelerate reforms geared at shrinking the public deficit, reviving growth and reducing record joblessness in Europe's number two economy.

"In 2014, this year, we will save 15 billion (euros)," Hollande told a news conference at the Elysee presidential palace. "In 2015 to 2017 we will unblock 50 billion more. This has never been done before."