French Savers Turn to Private Pensions Amid Welfare Concerns
France is witnessing a growing shift towards private retirement savings as public confidence in its pension system declines. Concerns over rising government debt, an ageing population and falling birth rates have led many workers, particularly younger people, to question whether the state-funded system can provide sufficient retirement income. A survey found that 72% of French people doubt the current system will guarantee an adequate pension.
Private retirement savings plans, known as Plan d’Épargne Retraite (PER), have gained popularity since their introduction in 2020. Nearly 13 million people have signed up, with total assets exceeding €150 billion in 2025, according to France’s finance ministry. These voluntary plans offer tax advantages on contributions, allowing individuals to build additional retirement savings alongside their public pension benefits.
Pensions are also expected to be a major issue in France’s 2027 presidential election. While several political candidates support private savings as a way to supplement the public system, compulsory contributions remain controversial. Some politicians argue that private pensions could increase inequality, while supporters see them as a way to reduce uncertainty about future retirement income.
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