The French government will reintroduce a scheme to help less well-off households lease an electric vehicle at the end of September.

The scheme – introduced by President Emmanuel Macron’s administration in January 2024 to make electric vehicles affordable to low-income households and reduce carbon emissions in France – was a victim of its own success.

It was originally intended to subsidise the long-term leases of up to 25,000 European-built electric vehicles, but following huge demand that number was doubled.

In the end, nearly 50,000 orders for electric vehicles were placed during the first social leasing programme, which ran from January 1st to February 15th, 2024. 

The programme was then suspended, but the government said it hoped to be able to reintroduce it in future – and now it’s back.

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The updated and modified subsidy scheme – which launches on September 30th – is part of the energy-saving Certificats d’économie d’énergie (CEE) programme that requires energy suppliers in France to finance projects that cut energy consumption and improve efficiency.

As before, new leases will be limited to applicants who meet strict income thresholds. Only applicants whose reference taxable income per person is less than or equal to €16,300 are eligible to apply.

Applicants must also be able to demonstrate that they need a personal vehicle to make daily journeys to work of 15 km or more – or that they travel more than 8,000 km per year for work purposes in their personal vehicle.

The amount of rent to be paid for the vehicle lease will depend on the model of car. Under the 2025 social leasing programme, the monthly cost cannot exceed €200 – not including insurance, or options. In 2024, the fee charged by car rental companies was required to be less than €150 per month.

Leases must be for a minimum three-year term, and may include an option to buy at the end of the period. At the end of the contract, users must return the vehicle or purchase it at its residual value (this is the value of the car at the end of the lease contract, taking into account the depreciation of the vehicle’s value).

This programme is set to run until December 31st, 2030, and is intended to provide financial support for the leasing of at least 50,000 electric passenger vehicles by lower-income households. 

Under the scheme, at least 5,000 vehicles must be allocated to people whose home or workplace in a low-emission zone.

Find more on how to apply for the scheme (once it reopens) HERE.