France: Property taxes rise and Livret A savings rates increase

Property owners in France are facing rising property taxes (taxe foncière) due to a national revaluation of cadastral rental values. Although the national increase is set at a modest 0.8% this year following a slowdown in inflation, this automatic adjustment increases the tax base for millions of owners before local municipal rates are even applied. While most large cities have not changed their local rates, eleven major municipalities have voted for increases, with Mamoudzou in Mayotte reporting a significant rise of 95%.

In separate financial news, the interest rate for the Livret A savings account has been increased to 1.7% effective August 1, 2026. This 0.2 percentage point rise follows a period where the rate sat at 1.5%. The Livret de développement durable et solidaire (LDDS) follows the same rate. The government also decided to maintain the Livret d’épargne populaire (LEP) rate at 2.5% for low-income households, despite calculation formulas suggesting a decrease to 2.2%.