The French government will continue its environmental incentive scheme for electric vehicle purchases into 2026, keeping the same legal framework introduced in the final quarter of 2025 in a move aimed at preserving policy stability and supporting the transition to cleaner transport.
France’s EV incentive, known as the bonus écologique, is now determined by a combination of household income and the carbon footprint associated with vehicle and battery production. Since mid-2025, the government has shifted away from fixed subsidy caps, instead linking support levels to the fluctuating prices of energy savings certificates (CEE), which underpin the country’s energy efficiency policy. Financing for EV incentives has also moved from the state budget to the CEE mechanism.
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“Based on current prices in the energy savings certificate market, subsidies for electric vehicles could reach up to €5,700 for low-income households, €4,700 for middle-income households, and €3,500 for other households,” the government said. An additional incentive for vehicles equipped with batteries manufactured in Europe, also backed by CEE funding, may add between €1,200 and €2,000 to the subsidy. The structure of these measures will remain unchanged next year.
French authorities said the strategy is intended to maintain strong incentives while keeping fiscal pressure off public finances. “Maintaining high subsidy levels is a strategic decision that underscores the government’s commitment to accelerating the transition to a low-carbon economy and ensuring access to cleaner vehicles for all French citizens,” the government said in a statement. Eligibility is limited to electric vehicles that meet strict environmental benchmarks, weigh less than 2,400 kilograms, and are sold for under €47,000, excluding options.
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The environmental bonus cannot be combined with France’s social leasing scheme, now in its second funding phase, which targets lower-income workers. That programme is reserved for households with at least one employed member and a tax reference income below €16,300 per person, with requirements tied to commuting distance or annual work-related driving.
Market data suggest the incentives are supporting demand. Fully electric vehicles accounted for a record 24% of new car registrations in October, compared with an average of 16.8% in 2024. “Sustainably promoting electric vehicles requires a practical approach to environmental protection—one that reduces costs, simplifies daily life, enhances comfort, and prioritises low-income households,” said Monique Barbut, France’s Minister for Ecological Transition, Biodiversity, and International Climate and Nature Negotiations. She added that the low-carbon transition must strengthen industrial production in France and across Europe.
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The bonus écologique is designed to gradually decline over time. Subsidies ranged between €2,000 and €4,000 from February 2024 before being raised again in July 2025, when the government tied the scheme to the CEE market. The adjustment followed a slight decline in EV registrations in the first half of 2025, highlighting sensitivity in consumer demand.