Sarkozy’s mortgage tax reforms cut down

Plans by French president Nicolas Sarkozy to offer interest relief on
mortgage payments have been struck down by France’s Constitutional Council,
the FT reports

Sarkozy was hoping to sign the reforms into law as he returned from holiday
in the US, but the council, which rules on the validity of laws passed down by
the French parliament, said the new law should not benefit current home owners
and that it should be limited to people who are yet to climb on the property

Government is planning to amend the proposal to appease the council. The
setback is an embarrassment for Sarkozy who built his election campaign on the

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