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WE LOOK AT NEW LAWS AND CHANGES THAT COULD AFFECT YOU NEXT YEAR _[ARTICLE UPDATED ON JANUARY 2 AT 16:00 WITH FURTHER INFORMATION ON THE NEW INCOME TAX BANDS.]_ BANK FEES CAP Banks have

agreed to limit fee increases to no more than 2%. They have also committed to reduce the maximum bank fee charge for low income clients from €3/month to €1/month. SAVINGS RATES RISE _Livret

A_ rates will rise on February 1, possibly from 2% to 3%, though this is yet to be confirmed as the final calculation will be done in January. Rates of the LDDS savings account are also in

line with the_ livret A._ The rate of the LEP (_livret d'épargne populaire_) will also rise from its current 4.6%, based on inflation and also the rate of the _livret jeune_. The latter

varies bank by bank but is never less than 2% or less than the rate of the _livret A._ The rate for new _plans d’épargne-logement_ rises from 1% to 2% from January 1. The rate of _comptes

épargne logement_, currently only 1.25% is also expected to rise. Rates for other, ordinary, savings accounts (without tax advantages) may rise slightly this year, depending on banks'

internal decisions. One trend to look out for is more banks offering _comptes à terme,_ an account with a favourable rate, but where you cannot access the money for a defined period of time.

PENSION AGE INCREASE DEBATE Reform of French pensions is to be debated in parliament, with the plan for the pension age to start rising from the summer, probably by four months a year until

it reaches 65 by 2031, as opposed to 62 today – though President Macron has said he is open to the possibility of limiting it to 64. Protests are expected. The first people to be affected

would be those born in 1961. WOOD-BURNER FUEL GRANT A grant of €50-€200 for households using wood-burning heaters is to be given out in early 2023. Eligibility will be income-based. You can

claim it at chequeenergie.gouv.fr and will need your _numéro fiscal_ French tax number and a previous wood bill. A ‘cheque’ will be posted out to be presented for money off a future bill.

READ MORE: AM I ALLOWED TO SWEEP MY OWN CHIMNEY IN FRANCE? INCOME TAX BAND RISE Income tax bands will rise by 5.4% to index them with inflation, helping to reduce tax bills. READ MORE:

CHANGING TAX BANDS IN FRANCE: HOW MUCH COULD YOU SAVE IN 2023? The thresholds for 2023 will be as follows: * 0% - Taxable revenue per person: Under €10,777 (up from €10,225 in 2022) * 11% -

€10,777-€27,478 (€10,226-€26,070 in 2022) * 30% - €27,479-€78,570 (€26,071-€74,545 in 2022) * 41% - €78,571-€168,994 (€74,546-€160,336 in 2022) * 45% - Above €168,994 (Above €160,337 in

2022) MINIMUM WAGE INCREASES The Smic minimum wage will increase by 1.8% on January 1, with an additional €24 net per month. This follows several rises last year, in January, May and August.

People receiving the Smic will now earn €1,709.28 gross and €1,3353.07 net per month. INHERITANCE TAX CHANGES Follow-up is still awaited on inheritance rule changes, as promised by

President Ma­cron prior to re-election. He pledged to increase the tax-free deduction between parents and children and to lower taxes for other relatives, such as stepchildren. READ MORE: EU

TO REVIEW LEGALITY OF RECENT FRENCH LAW ON CHILDREN’S INHERITANCE READ MORE: WHAT COULD YOU DO TO EASE EFFECTS OF FRANCE’S 2021 INHERITANCE LAW? UNDECLARED SWIMMING POOL TRACKING Use of

Google Earth satellites is to be extended to more areas after proving in a trial a lucrative tool to track undeclared swimming pools. Authorities compare images showing pools in gardens with

tax registers to see if pools have been declared, a factor which can raise_ taxe foncière_. READ MORE: CAN I ADD A SWIMMING POOL TO FRENCH HOME WITHOUT PAYING MORE IN TAX? UK NATIONAL

INSURANCE TOP UP INCREASE Voluntary National Insurance contributions to top up a UK state pension from abroad are set to go up in line with a 10.1% hike in the consumer price index in

September 2022. They will rise to £3.45 and £17.45 from April. MAYORS PLAN TO FIND FUNDS One in five mayors are reported to be looking at raising local tax rates, including a 50% increase in

Paris for the_ taxe foncière_. To save money, most mayors are considering reducing use of street lighting and most plan to turn down heating in sports facilities and public buildings.

VACANT PROPERTY TAX RISE Owners of vacant properties and second homes in many areas are likely to see their local tax bills rise soon due to increases to _taxe sur les logements vacants_ on

empty homes and additions to areas classed as _zones tendues_ (places which have housing shortages) where mairies can opt to levy a 5-60% _taxe d’habitation_ surcharge as a way to encourage

main residences. A new list is expected to include 5,000 communes, as opposed to the current tally of 1,149 spread across 28 urban areas. You can check if your area is listed. READ MORE:

SECOND HOME TAX INCREASE: WHERE IN FRANCE MAY BE AFFECTED BY NEW LAW? MORTGAGE RATE RISE Bank mortgage rates are expected to continue to rise. Most are more than 2% now, some 3%, which has

not been seen since 2016. BROADER CHILD SUPPORT PAYMENT CRITERIA A service to facilitate pensions alimentaires support payments, which opened last year for divorcees with children, is being

extended to apply to other separation/divorce scenarios where children are concerned, including unmarried couples. An agency run by Caf and the MSA will take payments from the ex-spouse’s

account where financial support has been decided by a judge, and pass them on (unless both parties opt out). RELATED ARTICLES CHANGES FOR DRIVERS IN FRANCE IN 2023 FRENCH INCOME TAX: MORE

PEOPLE CAUGHT OUT OVER FOREIGN BANK ACCOUNTS WHICH MEASURES IN THE NEW UK BUDGET AFFECT BRITONS ABROAD?