Hollande victory seen as mandate for Socialist Party

The election was a ringing endorsement of the growth-led policies Francois Hollande has outlined.

Last night, his Socialist Party won more than 300 seats, an absolute majority in the lower house of parliament. It is the first time they alone have held the National Assembly in 30 years, since the days of Francois Mitterrand, and it underlines once again that across Europe people are turning against the austerity agenda.

"With a new, solid, large majority we can pass laws for change," said Foreign Minister Laurent Fabius.

"It gives us great responsibilities both in France and in Europe."

Until now the more sensitive issue of cuts has been largely avoided, until the elections were out of the way.

But with public debt touching 90% and a shortfall of 10bn euros (£8bn; $13bn) in this year's deficit target of 4.5%, there will be difficult decisions ahead.