6 days ago
Fears France will suspend property grant scheme
The MaPrimeRénov' scheme had been due to undergo radical change, anyway – with financial aid for smaller scale works phased out in favour of more extensive renovation work – but a decree issued in the closing days of
Michel Barnier's short-lived government
meant it had
something of a reprieve
.
This scheme was introduced in 2020 to help pay for energy-related renovations. Specifically, the work would need to fit into one of four categories: heating, insulation, ventilation and energy audits.
But it seems MaPrimeRénov' will be suspended from July until at least the end of the year,
Le Parisien
reports.
The regional daily quotes 'a source' who said: 'Funds allocated for the whole of 2025 have already been almost entirely used up.'
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It is suspected that the government's efforts to find €40 billion in savings in the next finance bill – due to be debated in the next parliamentary session – has prompted the decision.
For the past two years, the state's share of funding for the scheme has been steadily reduced. By 2024, it was already down €2 billion of the amount initially planned, falling from €4.5 billion to €2.3 billion.
The excessive complexity of the scheme prevented all funds from being used. Only 350,000 renovation projects were carried out last year, compared to the 600,000 planned.
This year, the government had committed €2.3 billion to the scheme – which has almost been entirely allocated already, while the convoluted debate over the 2025 budget, which led to the downfall of Barnier's administration, meant numerous projects were shelved because the funding could not be allocated.
Households whose applications have already been approved can, in principle, expect to receive the aid they are entitled to. However, delays in payment are to be expected.
The government's decision will prevent new applications from being approved, depriving hundreds of thousands of individuals of the opportunity to carry out renovation work and reducing their energy bills.
Government officials have insisted that it's too early to signal the death knell for the scheme: 'Nothing has been finalised, discussions are ongoing,' Le Parisien was told.
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'The fight against fraud and reducing the time taken to process applications remain priorities.'
Many who have applied for MaPrimeRénov' are also pointing to shortcomings in official inspections. Thousands of complaints are currently being investigated by administrative courts across the country.
Several companies in the sector are also preparing to take legal action against the Agence National de l'Habitat (Anah), seeking compensation for losses due – they say – to poor administration of the scheme.
According to the Institut national de la statistique et des études économiques (Insee), housing is the fourth biggest emitter of greenhouse gases in France, after road transport, agriculture and industry.
