In January, the French withdrew more money from their Livret A accounts than they deposited. This marks the first monthly "decollecte," or net outflow of funds, since 2016. The total savings balance in these accounts fell by €1.9 billion, the worst result since the global financial crisis in 2009. Data from the Banque de France confirms that capital was primarily transferred to more profitable assurance-vie products.

Largest Monthly Outflow Since 2009

The savings balance in Livret A and LDDS decreased by €1.9 billion in January. This is a record monthly decline in nearly 17 years.

First Decollecte in a Decade

For the first time since 2016, the French withdrew more from their accounts than they deposited, ending a long series of fund inflows.

Capital Migration to Assurance-vie

The primary destination for withdrawn funds is investment-linked insurance policies, which offer potentially higher returns than state-backed savings accounts.

Interest Rate Still Unattractive

The 3% rate, maintained for over a year, is not stopping savers from seeking better returns in other markets.

French savings are leaving the most popular state-backed savings accounts en masse. According to Banque de France data for January, the capital balance in Livret A and Livret de Développement Durable et Solidaire (LDDS) accounts fell by €1.9 billion. This is the largest monthly net outflow of funds, known as decollecte, since January 2009, during the deepest phase of the global financial crisis. A key signal is that this was the first monthly decollecte for Livret A since February 2016, ending a decade-long streak of uninterrupted capital inflows into these accounts. Livret A, established in 1818, is one of the oldest and most widespread savings instruments in France, held by about 55 million people. Its interest rate is set every six months by the government, in consultation with the Banque de France, and aims to strike a balance between protecting citizens' savings and financing social housing. A long period of historically low interest rates before 2022 made Livret A unattractive for years, until the sharp rise in inflation and rate hikes. The main reason for this trend reversal is capital migration in search of higher returns. Savers are massively moving money to assurance-vie products, which can offer better rates of return, especially in euro funds. The current Livret A interest rate of 3%, maintained since February 2023, has ceased to be competitive in the eyes of some customers, particularly in light of falling inflation and the prospect of potential rate cuts by the European Central Bank. January data shows not only an outflow from Livret A but also a continuation of the downward trend for LDDS, where decollecte has been ongoing since November of last year.Monthly change in Livret A savings balance (in bn euros): 2025-07: 0.7, 2025-08: 1.1, 2025-09: 1.0, 2025-10: 0.9, 2025-11: 0.4, 2025-12: 0.5, 2026-01: -1.9 This massive reorientation of savings poses a challenge to the funding model underpinning Livret A. A significant portion of the funds collected there is transferred to the Caisse des Dépôts et Consignations (CDC), which uses them to finance key sectors such as social housing and energy modernization. A sustained outflow trend could hinder the execution of these public investments. The next decision on the Livret A interest rate will be made on July 15, 2026, and will be closely watched by both savers and public policymakers.