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French Government Weighs New Pension Freeze Plan

France's government is studying a plan to freeze inflation adjustments on higher pensions to help close its next budget.

French Government Weighs New Pension Freeze Plan

Pensioners in France are again in the government's sights as officials draft the country's last budget before the presidential election.

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The government is studying a proposal to stop adjusting pensions above a certain threshold for inflation, according to the report. Under the plan, pensions above that threshold would no longer rise in line with the cost of living.

Potential savings

If the freeze applied to all pensioners, it would generate six billion euros in savings, the report said.

At this stage, the government wants to protect people with the lowest incomes from the change, according to the report.

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