French Prime Minister vows to cut budget deficit to below 3%

French Prime Minister Edouard Philippe has vowed to bring the country's budget deficit under the European Union limit of 3% this year in his first major speech on the government's economic and social priorities.

Addressing MPs, Mr Philippe announced expenses cuts and pledged not to raise taxes. He said France's debt has reached "an unbearable level", putting the country "at the mercy of financial markets".