PARIS, Jan 7 (Reuters) - France may increase spending plans by 1 billion euros ($1.34 billion) to finance benefits for poor workers and tenants, a senior legislator from the ruling UMP party was quoted as saying on Wednesday.
Gilles Carrez, the UMP's budget expert in parliament, said in an interview with business daily Les Echos that a new stimulus package was not on the agenda but he expected the subject of the extra billion to come up by the spring.
"An extra 1 billion euros (to increase benefits) could be considered. Should these measures be temporary or long lasting? I think the subject will be discussed by the spring," Carrez was quoted as saying.
President Nicolas Sarkozy announced on Dec. 4 a 26 billion euro stimulus plan for the faltering economy that mostly targets investment projects and rewards firms for hiring. The opposition has criticised the plan for not directly aiding consumers.
Some economists have said that the government may have to come up with a second package to overcome tough economic conditions in 2009, but Carrez defended the existing plan and said a new one was not in the pipeline.
He said that a broad value added tax cut like the one introduced in Britain would not work in France because it would mostly boost purchases of imported goods, while tax cuts like the ones being considered in Germany were not necessary.
($1=.7466 Euro)
(Reporting by Estelle Shirbon; Editing by Neil Fullick)