Would tax hikes for the wealthiest really drive them to flee France?

The government claims France's richest will head off in their private jets, taking their wealth abroad, if wealth taxes are increased. But recent data is far less pessimistic about the impact of small tax hikes. © Business Wire/AP

The French government is looking to slash its deficit by €44 billion, with ministers favouring spending cuts over tax increases on the wealthy. But new research challenges a key government argument that higher taxes would trigger a mass exodus of the rich.

Prime Minister François Bayrou's austerity budget is likely to be rejected by MPs when they vote on 8 September, leading to his ousting.