Today, everyone has a “reaction” handbook, habit, and seniority more than they actually bring. In fact, Living A or LEP, People’s Savings Book, is not very profitable and you cannot combine them, even if you have several banks. You can only have one brochure altogether. Bruno Le Maire has just made a statement regarding the pricing of these two brochures. Each of them will get an increase in the wage rate, which will make the people happy. The politician follows the recommendations of the Bank of France. This is fairly good news. We explain everything to you in this article.
– Once Upon a Time Tomorrow (histoireCE) April 24, 2019
Livret A and LEP: rate increase for 2022
On Friday, January 14th, the Economy Minister, Bruno Le Maire, will carry good news for the French just before the weekend. From February 1, booklet A will increase from 0.5% to 1% of the wage rate. One wonders why he made this decision and why does he fall now? This increase was advised by the Governor of the Bank of France. As a reminder, in case you didn’t know, this is the first time this has happened in ten years.
The politician also confirmed the increase in the people’s savings book to 2.2%. Currently, it has a rate of 1%. Bruno Le Maire noted that ” All French people who earn less than 20,000 euros a year are entitled to this brochure, which better protects against inflation “. The price development reached 2.8% last December in one year.
– Joseph Erards (@jemt2253) January 14, 2022
That is why Bruno Le Maire preferred to follow the recommendations of the Governor of the Bank of France. François Villeroy de Gallo was responsible for calculating the rates for these two pamphlets. 1% salary rate It is likely to better guarantee the remuneration of Livret A holders, without creating a very high additional cost, in order to maintain the social housing finance”The governor explained.
Second half of 2021: big inflation
– Haddad Bogdan (@bogdan_kowal) January 14, 2022
For information, the A rate of return is checked and calculated twice every year. Specialists average inflation rates over the past six months. They also analyze interbank exchange rates (short-term currency exchange) and average all their data. carry out this basic arithmetic and this principle” It will result in a Livret A rate of 0.8%”, justifies the Bank of France. But the latter made another choice: “ In light of inflation in the second half of 2021 ″, will be rounded up to at least 1%.
Insee revealed that inflation in France rose by 1.6% over the whole of 2021. This is an annual average. This has increased steadily since 2018 due to higher prices for energy and manufactured materials. Consumer prices are up 0.5% year on year in 2020. This year is special because the Covid-19 pandemic crisis has come into our lives. In 2019, the inflation rate increased by 1.1% and in 2018 by 1.8%.
Investment for small portfolios
Bruno Le Maire clearly demonstrated the importance of the LEP brochure as an investment geared towards people with low resources. Indeed, a single person is concerned if he declares less than 20,296 euros per year. this scale” Better protect against inflation ». The most recent increase in District A dates back to August 2011. It increased from 2% to 2.25%. Since this period, Animal A has either slacked or fallen, but never increased. In February 2020, it fell very low and reached 0.50%. Suffice to say, it’s not rewarding at all!
Even if Living A has a very low rate of return, it remains a habit and a security for the French who continue to save in this way. And more so during a health crisis which is frightening for many people. The presidential election years also frighten some families. Therefore, brochure A remains a refuge. According to the latest figures released by the Caisse des dépôts, the total amounted to 343.4 billion euros at the end of November. As of December 31, 2020, the number of savings accounts in Livret A is 55.7 million according to the Banque de France.