Fiscal Geographies of Housing Governance: Interplay Between Local- and National-Level Property Development Regulations in France

Fiscal geography illuminates the uneven ramifications of taxation policies on urban and regional development. In terms of housing governance, however, there remains a notable gap in examining how the spatial selectivity of taxation plays out across scales. This article highlights the interconnection between national regulation, housing market dynamics, and local governance systems. It examines how property development and local regulation have adapted to changes following the 2018 Finance Act in France, through which tax incentives for household rental investment were withdrawn from 1,167 municipalities. We compare the metropolitan regions of Angers and Clermont-Ferrand, two French medium-sized cities. Detailed quantitative analysis shows that the 2018 Finance Act was followed by an increase in property development and prices in eligible municipalities, and a fall or stagnation in those losing eligibility. However, the regions' distinct local-level governance systems, uncovered through policy analysis and 15 interviews with public and private stakeholders, exhibit varying responses to these shifts. We argue that these differences are linked to local political strategies and can influence property development dynamics. The entrepreneurial, pro-development urbanism of Angers adapted through incentive tools aligned with national tax subsidies. In contrast, Clermont-Ferrand's more socially protective managerial urbanism responded by reinforcing regulatory constraints on development. We conclude by highlighting the importance of a multi-scalar perspective in fiscal geography for connecting taxation policies, housing markets, and local governance systems.