Is solidarity-based saving still on the rise?

From November 13 to 20, FAIR is organizing its major annual communication campaign with the 16th national edition of Solidarity Finance Week. Designed as an awareness-raising initiative, the campaign aims to help everyone realize that their savings are a means of taking action and can support projects that address the challenges facing our society. This is an opportunity to revisit the status report published earlier this year.

Inflation is beginning to take a toll on French households' savings. According to a study published by La Croix and the Fair association (formerly Finansol), solidarity savings increased by 7.4% in 2022, reaching 26.3 billion euros, but this growth is slowing after two exceptional years. 

The growth recorded in 2022 follows several years of double-digit increases, driven by households’ greater ability to save—due in part to lower spending during the COVID-19 lockdowns. In terms of percentage change, 2022 was the weakest year since 2008. In terms of volume, however, it was still the fifth-best year since then, with an additional 1.8 billion euros.

Employee savings plans remain the preferred investment in this segment. In 2022, they held 15.3 billion euros in assets (an 8.5% increase compared to 2021). Next are bank savings (dedicated savings accounts), with €10 billion (+5%), and nearly €1 billion invested directly in companies (+9%), according to this annual survey. The share of solidarity-based savings remains negligible among the French, as it accounts for less than 0.5% of their financial assets, according to the study.

However, solidarity-based savings still account for only a small portion—less than 0.5%—of French people’s financial assets. Despite this trend, the French continue to save, with deposits into their life insurance policies exceeding withdrawals, even as euro-denominated funds experience outflows in favor of unit-linked funds. Net inflows into life insurance are expected to remain modest in the coming months.