French budget talks teetered on the brink of collapse on Wednesday, a day after Socialist party officials suspended their participation in protest over remarks about immigration by Prime Minister Francois Bayrou,

French lawmakers on Thursday will try to reach a budget compromise that can get enough support to avert another government collapse and restore financial certainty for the country.

A small panel of French senators and members of parliament will meet on Thursday to thrash out the final text of a much delayed 2025 budget bill that is key to restoring investor confidence over the country's finances and the government's survival.

French budget talks are moving ahead and must not be "taken hostage" by a dispute over remarks the prime minister made about immigration, government spokeswoman Sophie Primas said on Wednesday.