The financial outlook for local authorities is “favorable” for 2023, says a confidential note from state services obtained by AFP on Sunday. While the community members denounce the loss of fiscal levers in the government budget project and fear being victims of inflation, this note, whose existence was revealed by Le Parisien, paints a positive picture of the state finances of the municipalities, departments and regions .
For all local authorities, “the provisional accounting data indicates that the year 2022 will end without difficulties”, even according to this document whose authors estimate that “by 2023, the prospects for income are favorable” if, as the Government forecasts, inflation it will slow down next year to 4.3%, compared to the 5.4% forecast for this year.
An “operating surplus”
L’épargne nette des collectivités, after a decrease of 20.5% in 2020, to rebondi of 35.7% in 2021 and atteint 22.3 million euros, soit 2.6 million more than in 2019, detail the note.
Community savings is an “operating surplus” that “is not intended to grow indefinitely” as long as it allows them to balance their accounts, they argue. In detail, “the dynamics of property tax revenues will increase even more in 2023 due to its indexation to the inflation observed at the end of 2022,” they add.
And the abolition of the CVAE, a production tax that weighs on companies that will first be halved next year before disappearing in 2024, should also be favorable for local finances, this text assures, the compensation paid to this title to the communities that benefit from the same dynamic. such as VAT, whose collection is expected to increase by 5.1%.
Source: BFM TV
