French Senate Approves Higher Taxes on Tobacco, Sugary Drinks, and Gambling

The measures aim to curb unhealthy behaviors and reduce the social security deficit, with significant increases in cigarette prices and soda taxes planned for 2025.

The French Senate has voted to raise taxes on cigarettes, sugary drinks, and gambling as part of the 2025 social security funding bill.
The price of a cigarette pack will increase to €12.70 next year, 40 cents higher than initially planned, with further increases targeting €13 by 2027.
Sugary drink taxes will rise to between 4 and 35 cents per liter depending on sugar content, exceeding the rates initially proposed by the National Assembly.
Gambling taxes on lotteries, casinos, and sports betting will also increase, though horse racing bets were excluded from the new measures.
The tax hikes are expected to generate significant revenue, contributing to a projected €1 billion improvement in the social security deficit, which is now estimated at €15 billion for 2025.