The net result of the State accounts deteriorated in 2022

The net result of the French state accounts deteriorated in 2022 after an improvement in 2021, the Court of Auditors said in a report on Thursday. The deficit recorded is 160 billion euros, close to the 166 billion recorded in 2020. In 2021, the State's accounting result had recovered, limiting the deficit to 141 billion euros.

“The State accounts therefore do not mark the return to the level of deficit observed prior to the health crisis”, note the Elders of rue Cambon who recall that this deficit had evolved between 94 and 51 billion euros from 2012 to 2019. The net expenses of the State increased by 46 billion euros last year, which is explained for 19 billion by an increase in operating expenses linked to the revaluation of the index point of civil servants.

The net financial situation of the State, that is to say the difference between what it owns and what it owes, stood at 31 December 2022 at 1758 billion euros, "a deterioration of 97 billion euros compared to the previous financial year”, specifies the Court of Auditors. “This deterioration is less than the deficit for the year, because the latter was partly offset by the accounting revaluation of certain state assets,” explains the institution.

The increase in revenue "in connection with the dynamism of the economy, was not enough to absorb the increase in the various categories of expenses", further note the Wise Men who add that operating expenses have increased by 9% compared to to 2021, and financial charges by 98%. The State's net financial debt increased by 151 billion, including 37 billion due to a deterioration in cash. At the end of June, the Court of Auditors had warned of France's objectives deemed unambitious in terms of reducing public spending, compared to those of its European neighbors.