French watchdog could slash fees

PEOPLE in a wide range of occupations in France, from notaries and lawyers to chemists and taxi drivers, may have to cut their fees 20% under leaked proposals by the country’s financial watchdog.

The impression that the customer is being fleeced routinely has been confirmed by evidence that 37 regulated professions are making more than twice the profits of any other economic sector in demanding inflated fees.

In a report leaked to French paper Les Echos, France’s Inspection Générale de Finances singled out pharmacists, driving instructors and legal professions such as notaries and bailiffs.

The report said that while these sectors were making big profits, often thanks to closed- shop setups, their levels of customer service were “seriously questioned by users”.

“The higher the level of regulation surrounding a sector, the higher the profitability,” said Les Echos.

The report was commissioned by previous finance minister Pierre Moscovici, but never made public.

It details 30 measures the government could take to save consumers à6- billion (about R87-billion).

The sectors would break out in a “cold sweat” if the finance ministry acted on its recommendations, Les Echos said.

“Their net profit before tax comes to 19% of their turnover on average, 2.4 times the profitability in the rest of the economy.” — ©