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REVEALED: Which French cities are most expensive for students?

The French students' union Unef has published its annual report on the cost of living. While life is more expensive for most students, local policies have reduced housing and transport costs in certain cities.

REVEALED: Which French cities are most expensive for students?
Place de la Sorbonne in Paris. Photo: ERIC PIERMONT / AFP.

The cost of living will be 2.5 percent higher for students in France in 2021-2022 than in the previous year, according to Unef. That represents an additional €20.61 of expenses every month.

The figures were published in two new reports released by Unef this week. The first looks at the evolution of the cost of living for French students, and the second breaks this down according to each university city.

No prizes for guessing which city will cost you the most.

Paris on top

Unsurprisingly, Paris is the most expensive city in France for students - those studying in the capital will have to shell out on average €1,277 each month, although costs have fallen 1.54 percent over the past year.

The Paris suburbs of Nanterre (€1,171) and Créteil (€1,134) come in second and third place, and the trend continues - nine of the ten most expensive towns are in the Paris region.

The one exception is Nice, in ninth place. That is partly due to the city's high rent prices, with the average student handing over €623 per month.

The cost of living increased most in the Paris suburb of Evry (5 percent), followed by Toulon (4.58 percent) and Angers (4.03 percent).

Huge disparities

Life is much more affordable in smaller towns. Of the 47 university towns evaluated, Limoges in west-central France was the cheapest, costing €793 per month. It was closely followed by Poitiers, St Etienne and Le Mans.

READ ALSO Five crucial tips for Americans who want to study in France

Rent prices also vary wildly - in Le Mans, students pay on average €353 each month for housing, compared to €850 in the capital. The average student in France spends €551 on rent.

Public transport costs meanwhile range from €90 per year to €350 depending on where you live. You will have to fork over more than €300 In Île-de-France, Lille, Lyon and Dijon.

Impact of social measures

The reports did however highlight the positive impact of local policies aimed at helping students. These include rent control laws, which have resulted in the average rent students pay remaining more or less the same compared to last year, while in Paris rents fell by 3.95 percent.

Many cities have also introduced free or low-cost public transport for some or all students. According to Unef, transport prices fell by 6.3 percent for students eligible for a means-tested bourse (grant), and by 0.4 percent for the rest.

The difference is stark in certain towns such as Saint-Etienne, where transport costs fell almost by half from €213 to €110 per year, and Perpignan where they went from €149 to €90.

READ ALSO The French words international students in France need to know

Unef has called for rent controls to be extended to all university cities, "since this measure has already fully shown its effectiveness in the reduction of rent prices in Paris".

The students' union has also demanded an end to higher university fees for non-EU students.

Overall, Unef said the cost of living for students had increased by 10.72 percent since Emmanuel Macron became President in 2017, while students receive €39 less per year in government assistance.

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TAXES

Explained: France’s exit tax

Planning on leaving France? You may, depending on your circumstances, be charged the 'exit tax'.

Explained: France's exit tax

Like some other European countries, France does have an exit tax for those (French or foreign) who are leaving the country. It’s known by the English name l’Exit tax.

However, it won’t affect most people.

Only those who have been tax resident for a minimum six years of the 10 years immediately before they permanently move out of the country are liable to pay an exit tax – if, that is, they own property, titles or rights worth a minimum of €800,000, or that represent 50 percent of a company’s social profits.

If that affects you, the best advice is to seek expert individual financial advice before moving out of France for good. The relevant page on the French government’s impot.gouv.fr website says it is possible to defer payments, and some relief is available.

Because of the relatively high figures involved, this tax is irrelevant for most people. That said, however, you will still have to inform tax authorities that you are moving out of the country because you may still have income, property and capital gains taxes to pay.

Income tax

You must inform the tax office that you are moving and give them your new address so that your tax declarations can be transferred to your new address.

You are liable for tax on everything you earned in France prior to your departure as well as on any French earnings that are taxable in France under international tax treaties that you earned after your departure.

The year of your departure, you declare your previous year’s earnings as normal – declarations in spring 2024 are for earnings in 2023.

A year later, you will have to declare any earnings taxable in France from January 1st up to the date of your departure, and any French-sourced income taxable source until December 31st of the year of your departure.

If you continue to have any French-sourced income – such as from renting out a French property – you will have to declare that income annually, using the non-residents declaration form.

Property taxes

You will have property taxes to pay if you own a French property on January 1st of any given year – whether it is occupied or not. 

Property tax bills come out in the autumn, but they refer to the situation on January 1st of that year, so even if you sell your property you will usually have the pay a final property tax bill the following year.

Moreover, if you receive income from property in France or have rights related to that property (such as shared ownership or stock in property companies), as well as any additional revenue connected to the property, during the year you leave France, you will be required to pay taxes on these earnings.

If any property assets in France exceed €1.3 million on January 1st of a given year, you may also have to pay the wealth tax (IFI).

READ ALSO What is France’s wealth tax and who pays it?

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Capital gains tax 

If you sell your French property or share of a French property, you may be liable for capital gains tax at a rate of 19 percent. It will also be subject to social security contributions at the overall rate of 17.2 percent.

Capital gains tax varies depending on how long you have owned the property and whether it was a second home or your main residence.

READ ALSO How much capital gains tax will I have to pay if I sell my French property?

The good news is, if you move to another EU country, or any country that has a specific tax agreement with France, you may be exempt from capital gains tax for non-resident sellers on the sale of a property that was your principal residence in France.

If you move elsewhere, you may be able to claim exemption on capital gains tax up to €150,000. As always, you should seek expert financial advice.

Tell Social Security

Inform social security that you are leaving France permanently – and return your carte vitale if you have one. If you do not, you may be liable for any benefits you receive to which you are no longer entitled.

More mundane tasks involve informing utility and water companies, your internet provider, if you have one, the phone company, your insurance companies, banks – and La Poste, who will be able to forward your mail for up to 12 months, for a fee…

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