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Price of fuel at pumps in France passes €2 per litre

The price of fuel at the pumps in France has passed €2 per litre in many areas of the country, driven by market uncertainty following the Russian invasion of Ukraine.

Published: 8 March 2022 11:32 CET
Price of fuel at pumps in France passes €2 per litre
Motorists queue for fuel at Harfleur, near Le Havre, western France, on March 5, 2022. (Photo: Jean-Francois Monier / AFP)

According to fuel price comparison site Carbu.com, the average price of unleaded petrol on forecourts across France has risen by more than €0.10 in the past week alone and more than €0.18 in a month; while diesel has jumped nearly €0.20 over the past seven days – and over €0.25 in a month.

Check out this interactive map to find the cheapest fuel in France

For many in rural France, where public transport is poor, running a car is essential and the price hikes have already started to make a painful impact on their wallets.

It is expected that fuel prices will continue to rise as the effects of the war in Ukraine and the EU sanctions become more evident, with some predicting prices at the pump of €2.50 per litre.

In January, Prime Minister Jean Castex announced the government would increase financial help for people who drive for work, with a tax break under a scheme known as the indemnité kilométrique, while a one-off €100 ‘inflation payment’ was announced in October and paid out in December to some 38 million people.

But, with the cost of fuel rising, the government is now considering further measures pending a hoped-for increase in production from other countries. 

The 2018/19 ‘Yellow Vest’ protests began as a complaint at the price of petrol, which at that time was selling for well below €2 a litre.

In his first Presidential election rally, Emmanuel Macron promised ‘quick measures’, and hinted at some of the plans that will come into effect as part of the government’s ‘Economic Resilience Plan’ to offset some of the effects of Russia’s aggression in Ukraine.

READ ALSO Macron tells French ‘I will protect you’ from effects of war in Ukraine

“What we need to improve is the support on fuel,” he told the 200-strong audience at a town hall event in Poissy. “There will be a fuel part [in the resilience plan]. It will be strengthened in line with the mileage allowance. It will be worked around the mileage allowance and inflation allowance.”

Prime minister Jean Castex is expected to announce full details of the plan by ‘mid March’.

Tax cuts, demanded by some, have for now been rejected as ineffective. Taxes currently make up about 60 percent of the forecourt price in France – but reducing them would cost the government hundreds of millions of euros, without making a marked difference. Even a simple €0.01 cut at the pumps would cost the government €0.5 billion, Economy Minister Bruno Le Maire claimed recently.

“It is very costly for a result that French people won’t even notice,” he said.

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LIVING IN FRANCE

Why you might get a letter about French benefits

France is introducing stricter residency requirements for certain benefits, including those that foreigners in France can qualify for, and has begun sending letters out to recipients.

Published: 30 April 2024 14:07 CEST
Why you might get a letter about French benefits

In April, the French government passed a decree that will tighten up residency requirements for different types of benefits, including the old-age top-up benefit.

Previously, the rule for most benefits was residency in France for at least six months of the previous year to qualify, though some required eight months and others, like the RSA (a top-up for people with little to no income) requires nine months’ residency per year.

However, the government announced in 2023 its intention to increase the period to nine months for several different programmes – which was put into decree in April – in an effort to combat social security fraud, as well as to standardise the system.

The changes, which will go into effect at the start of 2025, do not affect access to healthcare – foreigners can still access French public healthcare as long as they have been resident here for a minimum of three months. 

Similarly, the rules for accessing chômage (unemployment benefits) have not changed yet. Currently, you must have worked for at least six months out of the last 24 months to be eligible, as well as meeting other criteria including how you left your previous job.

This may change in the future, however, with the French government poised to reform the unemployment system again.

READ MORE: How France plans cuts to its generous unemployment system

Which benefits are affected?

The old-age benefit – or the ASPA – will apply the new nine month requirement. Previously, people needed to be in France for at least six months out of the year to qualify.

If you receive this benefit already, you will probably get a letter in the mail in the near future informing you of the change – this is a form letter and does not necessarily mean that your benefits will change.

If you are already a recipient – and you live in France for at least nine months out of the year – then you do not need to worry about your access to the ASPA changing.

If you want to access this benefit, it is available to certain foreigners, even though it is intended to help elderly (over 65) French citizens with low state pensions.

It is only available to foreigners who have been living legally in France for at least 10 years, and starting in 2025 you will need to spend nine out of 12 months a year in France. You can find more information at THIS French government website.

Otherwise, prestations familiales, or family benefits will be affected by the new nine month residency rule. These are available to foreigners with valid residency cards, as long as their children also live in France.

This includes the family allowance (given out by CAF), which is available for families on low incomes with more than two children, as well as the ‘Prime à la Naissance’, which is a means-tested one-off allowance paid in the seventh month of pregnancy to effectively help with the start-up costs of becoming a parent, will also be affected by the new nine month residency rule. 

READ MORE: France’s family benefit system explained

If you receive these benefits already, then you will likely receive a letter explaining the changes shortly.

And finally – the RSA, which is the top-up benefit for people with little to no income, was already held to the nine month standard, so there will be no residency-related changes.

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