4 changes for residents in France in August 2024
Interest rates drop for some savers, train pass deadline and school help - we summarise what is new
Much of France is on holiday but there are still changes coming in with the new month
Pixavril / sylv1rob1 / loreanto / Daniele Mezzadri / Shutterstock
August is traditionally a quiet month in France with many people on holiday but some changes are still set to take place for those who live or have a second-home in the country.
Below, we cover changes coming in August 2024.
Savings account interest drops
The interest rate for the state regulated, tax-free Livret d’épargne populaire (LEP), a savings account for lower-income residents in France, will drop on August 1.
It will decrease from 5% to 4%, however the maximum amount that can be held in the account (€10,000) will remain unchanged.
Nearly 11.5 million people in France are reported to have an LEP.
Interest rates for other regulated savings accounts, including the Livret A, will remain unchanged.
Read more: You can now earn interest on some current accounts in France
Back-to-school help
The allocation de rentrée scolaire will be paid out on August 20 (August 6 in some overseas departments).
This back-to-school benefit is a lump sum payment and is means tested. This limit is based on N-2 revenue (i.e, in 2024, income information declared for the 2022 year), and is paid out by the CAF family benefits service.
The amount depends on the age of the child.
2024 payments are the following:
€416.40 for a child between six and 10
€439.38 for a child between 11 and 14
€454.60 for a child between 15 and 18
The money is intended to be used to pay for materials, clothes, and other equipment the child needs. More information can be found here.
Read more: French benefit explainer: ‘Allocation de rentrée scolaire’
No August electricity price hike
Electricity bills will not increase this August despite previous plans for a rise of around 1%.
An increase in tariff prices for companies to use France’s national electricity grid was set to see bills go up but this has been pushed back.
Read more: Millions of French homes escape August electricity price rise
Young person rail pass is still available
Those aged between 16 and 27 have another chance to benefit from the PassRail scheme.
A PassRail ticket provides the holder with unlimited travel on local TER and Intercités services for a whole month for €49.
The tickets will only be valid until the end of August, even if bought later in the month, so young people wanting to benefit are urged to purchase a pass at the beginning of August.
Read more: Destinations, rules: All about €49 French rail pass on sale from June 5
