6 Nov 2012

Prescription for more-competitive France

12:43 pm on 6 November 2012

France has asked one of its most respected businessmen to find out how to make the country more competitive.

Louis Gallois, who used to run EADS, has delivered a report, calling for shock therapy.

This includes cutting 30 billion euros from payroll taxes, after the International Monetary Fund said the lack of competitiveness is France's biggest obstacle.

France now accounts for 13% of eurozone exports, compared with 17% a year ago, and its unemployment rate stands at more than 10%.

Mr Gallois also suggests an increase in VAT and cuts to public spending.