Tax cuts and savings plan: the announcements from Éric Ciotti

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The mayor of Nice and president of the Nice Côte d’Azur Metropolis presented this morning a plan to reduce local taxes with significant budget savings. The stated objective: return more than 51 million euros of purchasing power to the people of Nice while reducing public spending by around 60 million euros.

Facing the press gathered Thursday morning at Quai de la Douane, at the port of Nice, Éric Ciotti detailed for nearly half an hour the measures that should allow the implementation of one of the main promises of his campaign: reducing local taxes in Nice. “We will propose tomorrow, at the municipal council and at the metropolitan council, the adoption of three significant reductions in local taxes,” announced the mayor, mentioning “more than 51 million euros returned to the purchasing power of the people of Nice.”

Three Tax Reductions Announced

Three taxes are affected. The main measure concerns the property tax, with the municipal rate expected to decrease from 35.3% to 29.6%. The waste collection tax is also set to decrease, with the rate lowered from 10.46% to 9.46%. “By adding these reductions, we are returning to a global rate close to that of 2023,” the mayor stated.

Finally, the housing tax on secondary residences is to be adjusted due to local taxation rules. It would decrease from 25.15% to 21.82%. According to the city hall, these measures represent 51.4 million euros in less revenue for the community.

A Savings Plan of 60 Million Euros

To compensate for this decrease, Éric Ciotti announced a savings program of 60 million euros per year. These savings are to be achieved both through the operation of the community, on certain political expenses, and on several projects or events. “The question you rightly ask is simple: how are we going to finance these tax cuts? The answer is clear: through a very significant reduction in public spending.

A first series of measures concerns the “lifestyle of elected officials” and the municipality. The mayor announced the elimination of representation expenses, the end of his personal security ensured by two agents (Editor’s note: amounting to 240,000 euros annually during Christian Estrosi’s term), and a significant reduction in vehicles made available to the office and elected officials. A portion of the vehicle fleet will be sold.

The allowances for elected officials will also decrease, with an overall reduction of about one-quarter of salaries. The municipality also wants to review some operating expenses: legal fees, deemed very high in recent years, must be reduced, as well as reception and ceremony expenses. Communication expenses will also be lowered, notably with the elimination of the municipal magazine: “We have a quality local press that can inform the people of Nice without needing to fund a municipal magazine.” The use of consulting firms and external studies must also be significantly limited.

Events and Projects Under Scrutiny

Beyond operational aspects, the municipality intends to act on investments and public procurement. The aim is to reduce public procurement costs by at least 5%, which could represent about 20 million euros in savings on nearly 400 million euros of annual investments by the city and the metropolis.

Several events or projects are also affected by these budgetary adjustments. The municipality plans to cancel the Pétanque Métropole Nice Côte d’Azur event (announced at the beginning of the month) and the ultra-trail organized with the Ultra-Trail du Mont-Blanc company. The Ironman World Championship, which was to be held in Nice, will not be renewed. The budget for the Nice Jazz Fest is to be renegotiated to reduce costs. Regarding projects, the city is abandoning the study of a theater in the Palais des Expositions and intends to develop this project around the Gare du Sud. A proposed cleaning technical center in Pont-Michel is also suspended.

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