France elections latest: Macron asks PM Attal to stay on as country faces ‘3 major risks’ over deadlock
France faces months of instability after none of the three major parties were able to achieve a majority at the second round of elections
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French president Emmanuel Macron has refused the resignation of the country’s prime minister Gabriel Attal, asking him to stay on as the country faces weeks of political instability after a shock snap election result.
A left-wing alliance called New Popular Front won the most seats, with Mr Macron’s centrist grouping coming second. That pushed Marine Le Pen’s far-right National Rally (RN) into third, but with no party holding a majority. Le Pen’s party won the first round of the election late last month, but tactical voting – with more than 200 candidates, mostly from the left-wing alliance and the centrists, dropping out so as not to split the anti-RN vote.
Mr Attal had offered his resignation in the wake of the result, but Mr Macron has said he needs to stay on for now “to ensure the stability of the country” as the deal-making begins.
It comes as France's economic minister, Bruno Le Maire, faced three major risks over the political deadlock. He said the immediate risk was a "financial crisis and economic decline". The other two are an "ideological fracture of the nation” and a parliament full of “scattered” ideas from sides all with different agendas.
White House sees no post-election changes to France relationship
The White House yesterday said that the election results in France are not going to change the strong US relationship with France.
A leftist alliance unexpectedly took the top spot in French elections on Sunday, delivering a major setback for Marine Le Pen’s nationalist National Rally.
Euro slips as France faces hung parliament
The euro slipped yesterday but rose from overnight lows against the dollar after France’s election delivered a hung parliament.
The US dollar crept up from a more than three-week low after US payrolls data on Friday boosted bets that the Federal Reserve will soon start cutting interest rates.
French president Emmanuel Macron yesterday asked his prime minister to stay in the role for now, pending what will be difficult negotiations to form a new government after a surprise left-wing surge in elections.
“We’re still waiting to see if the coalition can get the 240 to 250 lawmakers together to have any semblance of a, what is it, I think in France, a working government. We’re in wait-and-see mode there,” said Garth Appelt, head of Foreign Exchange & Emerging Markets Derivatives, Mizuho Americas in New York.
“There was a small risk that France would actually start to move towards exiting the Eurozone” if the National Rally had won, Mr Given said. “People are just happy to have it off the table.”
Macron keeps France’s prime minister in place for ‘stability of country’
French president Emmanuel Macron has refused to accept the resignation of the country’s prime minister, asking him to remain temporarily as the head of the government after chaotic election results left the government in limbo.
Voters split the legislature on the left, centre and far right, leaving no faction even close to the majority needed to form a government.
The results from Sunday’s vote raised the risk of political paralysis for the European Union’s second-largest economy.
Mr Macron had gambled on his decision to call snap elections giving France a “moment of clarification”, but the outcome showed the opposite, less than three weeks before the start of the Paris Olympics.
Prime minister Gabriel Attal had said he would remain in office if needed, but offered his resignation on Monday morning.
Mr Macron, who appointed him just seven months ago, immediately asked Mr Attal to stay on “to ensure the stability of the country”. The day before, Mr Attal made clear that he disagreed with Mr Macron’s decision to call the surprise elections.
Far-right group from France and Hungary to lead a new political force in the European Parliament
Far-right parties from 12 countries, including France’s National Rally and Hungary’s ruling Fidesz, yesterday announced that they have joined together to form a new bloc in the European Parliament and plan to become a major political force.
The European Parliament moved perceptibly to the right following Europe-wide elections a month ago as many voters abandoned the business-friendly liberals and environmentalist Greens. Mainstream centre-right and centre-left groups still hold the majority though.
The new bloc, dubbed Patriots for Europe, is made up of 84 EU lawmakers and will be led by Jordan Bardella, the 28-year-old protégé of Marine Le Pen. Kinga Gál, from Hungarian prime minister Viktor Orbán’s Fidesz party, will be first vice president.
Report:
Far-right groups from France and Hungary to lead a new political force in the European Parliament
Far-right parties from 12 countries, including France’s National Rally and Hungary’s ruling Fidesz, have joined forces to form a new bloc in the European Parliament
Analysis: France voted against the far right – but what could happen next?
France does not have a reputation for coalitions in recent times, writes our international editor Chris Stevenson, so be prepared for weeks of negotiations.
France voted against the far right – but what could happen next?
France does not have a reputation for coalitions in recent times, writes Chris Stevenson, so be prepared for weeks of negotiations
France's far right seemed a dead cert. Here’s why it didn’t win
So close, and yet – in the end – still so far away.
French far-right leader Marine Le Pen looked to be nearer to power than ever last week after her National Rally party, strengthened by new allies, triumphed in the opening round of legislative elections.
Its first place wasn’t a hole-in-one, but looked like an impressive position to possibly win or get close to an absolute parliamentary majority in the decisive runoff.
Report:
The far right seemed to have a lock on France's legislative elections. Here's why it didn't it win
French far-right leader Marine Le Pen appeared to be nearer to power than ever last week after her National Rally party triumphed in the opening round of legislative elections
Shock French left election win is little solace for nervous investors
A shock election win for France’s leftist alliance has reinforced wariness among investors who had already braced for the risk of political deadlock and a policy paralysis that’s unlikely to improve the country’s creaking public finances.
The left-wing New Popular Front (NFP) alliance won the most seats in Sunday’s election, but fell far short of an absolute majority, a big surprise after Marine Le Pen’s far-right National Rally (RN) led opinion polls.
France, at the centre of the euro project and the bloc’s second biggest economy, still faces a hung parliament and taxing negotiations to form a government as markets had already anticipated - just with the left in pole position, rather than the far-right.
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