Prime Minister Michel Barnier announced steep spending cuts and tax hikes for France's biggest companies and wealthiest individuals on Tuesday, saying there was no other way to narrow a gaping budget deficit.

France plans around €60 billion ($66.4 billion) in spending cuts and tax hikes next year as Prime Minister Michel Barnier seeks to claw back a widening budget deficit and bolster investor confidence in the country.

France's finance minister has promised that upcoming tax hikes required to bring the country's finances back on track will be specifically targeted at high-income groups and will be temporary. Antoine Armand's announcement on RTL radio comes a day after French Prime Minister Michel Barnier pledged to tackle "colossal" debt through a combination of spending cuts and new taxes.

France's new Prime Minister Michel Barnier pledged new taxes and spending cuts Tuesday to reduce a "colossal" debt, in a policy address that met with a raucous reception from lawmakers

Prime Minister Michel Barnier announced steep public spending cuts and targeted tax hikes for France's biggest companies and wealthiest individuals on Tuesday, saying there was no other way to narrow a gaping budget deficit.

France's finance minister promised on Wednesday that the tax hikes the government says are required to bring the country's finances back on track will be targeted at high-income groups and limited in time.

France's new Prime Minister Michel Barnier pledged new taxes and spending cuts Tuesday to reduce a "colossal" debt, in a policy address that met with a raucous reception from lawmakers who could topple his government at any time.