10/07/2026
Since January 2026, the Livret A has been going through something it had never experienced since its distribution was opened up to all banks in 2009: five consecutive months of net outflows, meaning more withdrawals than deposits. This is not a one-off blip — it reflects a genuine shift in how French households are placing their money. Here is what the figures show, and why this shift is likely to continue.
Over the first five months of 2026, more than €5 billion left the Livret A, according to Caisse des Dépôts data. In May alone, net outflows reached €630 million. The LDDS (the other main tax-free savings account) followed the same trajectory, with €710 million in net withdrawals since January, and even the LEP, despite paying 2.5%, has not been spared.
The cause is easy to identify. The Livret A rate fell from 3% in 2023-2025 to 1.7% in August 2025, then to 1.5% since February 2026. At the same time, inflation has picked back up, reaching 2.4% year-on-year in May, driven notably by energy prices. In practical terms, a 1.5% return against 2.4% inflation no longer protects savers’ purchasing power — it is a real loss, even though the capital remains guaranteed in nominal value.
Another mechanical factor: more than 15% of Livret A accounts have reached their €22,950 cap. Households with genuine saving capacity therefore have no room left to deposit more, and are forced to look elsewhere.
Two destinations account for most of these flows.
Life insurance, first, is having a historic start to 2026. Over the first five months, premiums reached €88.5 billion (+10% year-on-year) for net inflows of €28.7 billion — €7.3 billion more than over the same period in 2025, according to France Assureurs. Total assets under management now exceed €2,162 billion. Notably, it is not only the secure euro-denominated funds benefiting from this inflow: unit-linked funds regularly account for 34% to 43% of contributions depending on the month. Savers are no longer simply moving their money into something “as safe as the Livret A” — a share of them are consciously accepting a bit more risk in pursuit of better returns, with euro funds themselves having averaged 2.65% in 2025, against 1.5% for the Livret A.
Stocks and brokerage accounts, meanwhile, are seeing rarely-observed levels of interest. According to the Autorité des marchés financiers (AMF), 2.5 million French people carried out at least one stock market transaction in 2025, a record since 2020. The number of equity investors jumped 21% year-on-year, and the number of ETF investors rose 83%. A sign that this trend goes beyond seasoned investors: the average age of equity investors dropped from 51 to 48, and that of ETF investors from 41 to 38, in a single year. A Bourse Direct survey confirms the trend in terms of intentions: 35% of French people say they want to invest in stocks in 2026, up from just 19% in 2022. Among savers who already invest in stocks, 38% use a standard brokerage account, alongside the PEA (44%), the PER retirement plan (41%) and multi-fund life insurance (49%) — proof that these vehicles are combined more often than they replace one another.
Three dynamics are converging. The first is purely arithmetic: when a risk-free investment yields less than inflation, holding onto it no longer protects anything — it actually erodes purchasing power year after year. The second is psychological: the French still remember the 3% rate offered between 2023 and 2025, and perceive the current 1.5% as a clear downgrade, which accelerates reallocation. The third is generational and technological: easier access to online investment platforms, the spread of low-cost ETFs, and better financial literacy among under-40s partly explain the younger investor base observed by the AMF.
This shift does not mean the Livret A has become useless, nor that everyone should move massively into riskier vehicles. The Livret A still has a precise role to play: emergency savings, available immediately, with no risk of capital loss, to cover unexpected expenses (generally 3 to 6 months of living costs). Mistaking it for a long-term performance tool is the opposite error to the one highlighted here. The right question is therefore not “Livret A or life insurance”, but rather what proportion of one’s savings should remain available and secure, and what proportion can reasonably be directed toward higher-performing vehicles, depending on one’s investment horizon, tax situation and risk tolerance.
This is precisely the kind of trade-off work that Groupe Bianco offers its clients. Moving out of the Livret A toward life insurance or a brokerage account is not a decision to be made lightly: the choice of contract, the split between euro funds and unit-linked funds, the balance between PEA, PER, life insurance and brokerage accounts, as well as the resulting tax optimisation (allowances after 8 years, transmission outside of inheritance rules, flat tax) all depend entirely on each person’s individual situation.
Our advisors carry out a full wealth review before making any recommendation, to build an allocation consistent with your real objectives — whether that means preparing for retirement, passing on your wealth, or simply making dormant savings work harder. Feel free to get in touch to review your situation and set up, or adjust, your savings strategy.
This article is for information and educational purposes only. It does not constitute personalised investment advice or a recommendation to buy. Past performance is not indicative of future results, and all investment carries a risk of capital loss.
