On December 12, 2023, Caisse d’amortissement de la dette sociale (Cades) Chairman Jean-Louis Rey presented the institution’s 2023 balance sheet. Tasked with financing and extinguishing the accumulated debt of the French Social Security system, Cades’ mission has been extended until 2033.
This assessment shows that the Social Security deficit, which had reached €1.7 billion in 2019, increased sharply during the health crisis (€ +39.7 billion in 2020). It is expected to reach €8.8 billion in 2023 and €17.7 billion in 2027.
According to Jean-Louis Rey, Cades will not be able to cover future Social Security deficits without a “credible” turnaround in the accounts of the Healthcare branch. This will account for €9.5 billion of the deficit in 2023. As for the Retirement branch, it adds up to €0.5 billion. The Caisse Nationale des Retraite des Agents des Collectivités Locales et des Hospitaliers (CNRACL ) also has a deficit of €7.5 billion. In 2020, the French Constitutional Council ruled that any new debt transfer would be accompanied by an increase in revenue, via contributions such as the Contribution sociale généralisée (CSG). According to the latter, it will not be possible for Cades to take on a larger share of the deficit.
