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France Raises Livret A Rate to 1.7% Starting August 1

The move is a formula-driven response to a rebound in inflation that aims to shield savers’ purchasing power while supporting regulated funding for social housing.

Bercy a annoncé, mercredi 15 juillet 2026, un relèvement du taux du livret A à 1,7 %.
[Maeva Destombes / Hans Lucas / Hans Lucas via AFP]
La Banque de France et le ministère de l'Economie et des Finances doivent également se prononcer sur le prochain taux du Livret d'épargne populaire (LEP), aujourd'hui à 2,5% et réservé aux ménages modestes
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Overview

  • The Banque de France proposed the increase and Economy Minister Roland Lescure confirmed it on Wednesday, July 15, with the new 1.7% rate taking effect on 1 August 2026.
  • The 1.7% figure comes from the statutory six‑monthly formula that combines the six‑month average of consumer inflation and the short‑term market rate (€STR).
  • Authorities also kept the Livret d’épargne populaire (LEP) at 2.5%, a deliberate policy boost above the formulaic 2.2% to help low‑income households.
  • Regulated savings remain large but under pressure: about 58 million Livret A accounts held €444.6 billion at end‑May and the product recorded unusual net withdrawals in 2026, including €630 million in May.
  • Policy makers stress that Livret A and LDDS funds finance social housing and other public loans, and officials warn the rate rise may only slowly slow outflows as savers have shifted toward life insurance and other products.