London Daily

Focus on the big picture.
Saturday, Aug 30, 2025

French president Macron's reelection push troubled by 'McKinsey Affair'

French president Macron's reelection push troubled by 'McKinsey Affair'

A new French Senate report questions the government’s use of private consultants, and accuses McKinsey of tax dodging.
As French President Emmanuel Macron prepares to hold his first big rally Saturday in his race for reelection, his campaign has hit a road bump.

It’s been dubbed “the McKinsey Affair,” named after an American consulting company hired to advise the French government on its COVID-19 vaccination campaign and other policy. A new French Senate report questions the government’s use of private consultants, and accuses McKinsey of tax dodging. The issue is mobilizing Macron’s rivals and dogging him at campaign stops ahead of the April 10 first-round vote.

His supporters hope he can rev up his campaign and drown out his detractors at Saturday’s rally in a huge arena west of Paris. Macron, a centrist who has been in the forefront of diplomatic efforts to end the war in Ukraine, has a comfortable lead in polls so far over far-right leader Marine Le Pen and other challengers.

But the word “McKinsey” is becoming a rallying cry for those trying to unseat him. Critics describe the government’s 1 billion euros in spending on consulting firms like McKinsey last year as a sort of privatization and Americanization of French politics, and are demanding more transparency.

The French Senate, where opposition conservatives hold a majority, published a report last month investigating the government’s use of private consulting firms.

The report found that state spending on such contracts has doubled in the past three years despite mixed results, and warned they could pose conflicts of interest. Dozens of private companies are involved in the consulting activities, including giants like Ireland-based multinational Accenture and French group Capgemini.

Most damningly, the report says McKinsey hasn’t paid corporate profit taxes in France since at least 2011, but instead used a system of “tax optimization” through its Delaware-based parent company. McKinsey issued a statement saying it “respects French tax rules that apply to it” and defending its work in France, but didn’t elaborate.

McKinsey notably advised the French government on its COVID vaccination campaign, which got off to a halting start but eventually became among the world’s most comprehensive. Outside consultants have also advised Macron’s government on housing reform, asylum policy and other measures.

The Senate report found that such firms earn smaller revenues in France than in Britain or Germany, and noted that spending on outside consultants was higher under conservative former President Nicolas Sarkozy than under Macron.

Budget Minister Olivier Dussopt said the state money spent on McKinsey was about 0.3% of what the government spent on public servants’ salaries last year, and that McKinsey earned only a tiny fraction of it. He accused campaign rivals of inflating the affair to boost their own ratings.

“We have nothing to hide,” said Amelie Montchalin, the government’s minister for public service.

The affair is hurting Macron nonetheless.

A former investment banker once accused of being “president of the rich,” Macron saw his ratings resurge when his government spent massively to protect workers and businesses early in the pandemic, vowing to do “whatever it takes” to cushion the blow. But his rivals say the McKinsey affair rekindles concerns that Macron and his government are beholden to private interests and out of touch with the concerns of ordinary voters.

Everywhere Macron goes now, he’s asked about it.

“The campaign should be about purchasing power, how to settle security problems, how to end the war (in Ukraine),” he told voters Thursday. “Don’t make it about a false issue.” On a talk show last Sunday, he said defensively, “If there is proof of manipulation, let them take it to court.”

A woman who lost her father to COVID-19 filed a lawsuit Friday accusing McKinsey and other consulting companies of misusing public money when they were hired to advise the government on mask and vaccine supplies. Julie Grasset now runs a support group for people who lost loved ones in the pandemic.

“It’s a serious issue. We are talking about public health,” Grasset told The Associated Press.

The financial prosecutor’s office did not comment. It could take weeks for prosecutors to decide whether to take up the case, one of several Grasset and others have filed involving the government’s handling of the pandemic.
Newsletter

Related Articles

0:00
0:00
Close
Corporate America Cuts Middle Management as Bosses Take On Triple the Workload
Parents Sue OpenAI After Teen’s Death, Alleging ChatGPT Encouraged Suicide
Amazon Faces Lawsuit Over 'Buy' Label on Digital Streaming Content
Federal Reserve Independence Questioned Amid Trump’s Push to Reshape Central Bank
British Politics Faces Tumultuous Autumn After Summer of Rebellions and Rising Farage Momentum
US Appeals Court Rules Against Most Trump-Era Tariffs
UK Sought Broad Access to Apple Users’ Data, Court Filing Reveals
UK Bank Shares Dive Over Potential Tax on Sector
Germany’s Auto Industry Sheds 51,500 Jobs in First Half of 2025 Amid Deepening Crisis
Bruce Willis Relocated Due to Advanced Dementia
French and Korean Nuclear Majors Clash As EU Launches Foreign Subsidy Probe
EU Stands Firm on Digital Rules as Trump Warns of Retaliation
Getting Ready for the 3rd Time in Its History, Germany Approves Voluntary Military Service for Teenagers
Argentine President Javier Milei Evacuated After Stones Thrown During Campaign Event
Denmark Confronts U.S. Diplomat Over Covert Trump-Linked Influence in Greenland
Starmer Should Back Away from ECHR, Says Jack Straw
Trump Demands RICO Charges Against George Soros and Son for Funding Violent Protests
Taylor Swift Announces Engagement to NFL Star Travis Kelce
France May Need IMF Bailout, Warns Finance Minister
Chinese AI Chipmaker Cambricon Posts Record Profit as Beijing Pushes Pivot from Nvidia
After the Shock of Defeat, Iranians Yearn for Change
Ukraine Finally Allows Young Men Aged Eighteen to Twenty-Two to Leave the Country
The Porn Remains, Privacy Disappears: How Britain Broke the Internet in Ten Days
YouTube Altered Content by Artificial Intelligence – Without Permission
Welcome to The Definition of Insanity: Germany Edition
Just a reminder, this is Michael Jackson's daughter, Paris.
Spotify’s Strange Move: The Feature Nobody Asked For – Returns
Manhunt in Australia: Armed Anti-Government Suspect Kills Police Officers Sent to Arrest Him
China Launches World’s Most Powerful Neutrino Detector
How Beijing-Linked Networks Shape Elections in New York City
Ukrainian Refugee Iryna Zarutska Fled War To US, Stabbed To Death
Elon Musk Sues Apple and OpenAI Over Alleged App Store Monopoly
2 Australian Police Shot Dead In Encounter In Rural Victoria State
Vietnam Evacuates Hundreds of Thousands as Typhoon Kajiki Strikes; China’s Sanya Shuts Down
UK Government Delays Decision on China’s Proposed London Embassy Amid Concerns Over Redacted Plans
A 150-Year Tradition to Be Abolished? Uproar Over the Popular Central Park Attraction
A new faith called Robotheism claims artificial intelligence isn’t just smart but actually God itself
Deputy Prime Minister Angela Rayner Purchases Third Property Amid Housing Tax Reforms Debate
HSBC Switzerland Ends Relationships with Over 1,000 Clients from Saudi Arabia, Lebanon, Qatar, and Egypt
Sharia Law Made Legally Binding in Austria Despite Warnings Over 'Incompatible' Values
Italian Facebook Group Sharing Intimate Images Without Consent Shut Down Amid Police Investigation
Dutch Foreign Minister Resigns Amid Deadlock Over Israel Sanctions
Trump and Allies Send Messages of Support to Ukraine on Independence Day Amid Ongoing Conflict
China Reels as Telegram Chat Group Shares Hidden-Camera Footage of Women and Children
Sam Nicoresti becomes first transgender comedian to win Edinburgh Comedy Award
Builders uncover historic human remains in Lancashire house renovation
Australia Wants to Tax Your Empty Bedrooms
MotoGP Cameraman Narrowly Avoids Pedro Acosta Crash at Hungarian Grand Prix
FBI Investigates John Bolton Over Classified Documents in High-Profile Raids
Report reveals OpenAI pitched national ChatGPT Plus subscription to UK ministers
×