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4w ago

French Savers Withdraw Billions From Livret A as State Rate Rises to 1.7%

The modest August boost still sits below inflation and leaves open the question of whether households will stop shifting money into higher‑yield alternatives.

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Le taux du livret A est progressivement passé de 3% en janvier 2025, à 2,4% en février de la même année puis 1,7% en août pour retomber à 1,5% en février 2026.

Overview

  • Caisse des dépôts data published July 22 showed net outflows of about €5.93 billion from the Livret A and €0.96 billion from the LDDS in the first half of 2026, a combined drop of roughly €6.89 billion.
  • June 2026 produced the weakest June for these regulated books since 2009 with combined net withdrawals of about €1.17 billion.
  • The government announced a temporary revaluation of the Livret A and LDDS to 1.7% from August 1 through January 31, 2027, up from 1.5% set in February 2026.
  • The 1.7% rate remains below France's June inflation rate of 1.8% and below recent average returns on guaranteed life‑insurance euro funds, which offered around 2.63%, reducing the chance the move will fully reverse outflows.
  • Despite the withdrawals, total balances stayed large at €608.3 billion at June 30, 2026, and many households continue to open new accounts, so the reallocation of savings could affect household liquidity and public fund management in coming months.