Good news that savers were no longer expecting. The rate of the Housing Savings Plan (PEL) will be raised for the first time in 22 years, the Ministry of the Economy announced on Thursday 8 December. In a press release cited by La Dépêche, Bercy indicates that new PELs will benefit from a rate of 2%, whereas it is currently 1%. As a reminder, the last increase in the PEL rate dates back to 2000.
The Minister of the Economy Bruno Le Maire welcomed this increase, declaring: “This is new support for French savings after the rise in the rates of the Livret A and the sustainable and solidarity development booklet, at 2% and the popular savings account, at 4.6%”. Please note, if you already have a PEL, its rate will not increase and the good news from the Ministry of the Economy will only concern products opened from January 1, 2023. The Public Service website specifies that the rate of interest “is fixed at the opening of the PEL” and that it is a gross rate, “before debiting costs for the bank”.
If you opened your PEL in 2018, you surely know that the interest received is subject to income tax and social security contributions. “When paying interest, the banking establishment must make a single flat-rate deduction of 30%, which corresponds to income tax, up to 12.8% and social security contributions, up to 17.20% “.
If you wish to benefit from this new rate, you must therefore close your current PEL and open a new one. Please note, this savings product is open for a minimum of four years and any withdrawal leads to its closure, sometimes with consequences, recalls the Public Service website.