Michel Barnier may still face vote of no-confidence as a result of political paralysis over €60bn in proposed taxation

The French government has promised to scrap proposed tax increases on electricity as it scrabbles to calm its far-right rivals and prevent a political crisis that could see the prime minister, Michel Barnier, toppled in a no-confidence vote as early as next week.

“I’ve decided not to raise taxes on electricity,” Barnier told Le Figaro on Wednesday, in a major concession to political opposition groups who are threatening to bring down the unpopular government over its belt-tightening budget.