Gas price, “shrinkflation”, calculation of the DPE: what changes this July 1

Gas price, “shrinkflation”, calculation of the DPE: what changes this July 1
Gas price, “shrinkflation”, calculation of the DPE: what changes this July 1

At the beginning of each month there are a series of administrative changes, price variations and the entry into force of new measures. Here is an overview of the small and large changes that will take place from Monday.

Gas price increase

The average price of the gas bill for millions of French people will increase by 11.7% in July compared to June. This increase represents an average of 124 euros more on the annual bill of French people who heat and cook with gas. This price is up compared to the June price but remains 3.5% lower than the average price of January 1, 2024.

This increase is mainly due to the four-year revaluation of the price of transporting gas to homes and businesses, in other words, the toll that the network manager GRDF charges to suppliers.

Fight against “shrinkflation”

Starting Monday, Supermarkets will have to inform their customers when products on the shelves have seen their quantity drop without their price decreasing, what is called “shrinkflation”. All supermarkets of more than 400 square meters in France will be required toaffix a “visible” and “legible” label or sign near, or even directly on the packaging, of all the products concerned.

“Shrinkflation” – from the English verb “to shrink” – consists, for manufacturers of consumer products, agro-industrialists or distributors, of reducing the quantities of products sold rather than significantly increasing prices, in a context where food prices have already increased by 20% in two years. For example, a lighter but more expensive pack of cereals.

Revaluation of unemployment benefits

Unemployment insurance benefits will be increased by 1.2% on July 1indicated Unédic. This revaluation “would affect around 2 million compensated job seekers” out of some 2.7 million in total, according to a press release from the body jointly managed by trade union and employer organizations. Some beneficiaries of less than six months are not affected.

This revaluation “takes into account both the economic context and the financial balance of the unemployment insurance system”. Elle “comes after two others in 2023 (+1.9% on April 1, then +1.9% on July 1)”. A recipient who has not worked during the month and benefits from the minimum allowance will thus go from 979.29 euros gross to 991.07 euros gross, details Unédic. The CGT, however, denounced “the extreme weakness of this revaluation” and the CFDT expressed a “bitter disappointment“.

The government must also publish by July 1 the decree concerning the new controversial reform of unemployment insurance, for entry into force on December 1. It includes in particular a duration of compensation reduced from 18 to 15 months, and the need to have worked eight months over the last 20 months to be compensated (compared to six over the last 24 months currently).

Correction of the DPE calculation

Of the “simplifications” in the calculation of the new energy performance diagnosis (DPE) of a dwelling must come into force this Monday. Introduced in 2006, the DPE classifies dwellings from A to G according to their energy consumption and, since 2021, their impact on the climate. Faced with the “complexities” et “bias” calculation concerning small housing – less than 40 m2 -, the Minister of Ecological Transition Christophe Béchu announced in February a correction of the calculation, effective from July 1.

This change should remove 140,000 homes from the energy sieve category (F or G labels). This change is important because since January 1, 2023, the law prohibits the rental of the most energy-intensive homes (classified G+) and this ban will be extended from January 1, 2025 to all G-classified homes.

From Monday, “if you are concerned, you can download the certificate replacing the first page of your DPE for a possible sale or rental”indicates the site of Ademe.

Opening of the new savings plan for young people

The “future climate savings plan”open exclusively to those under 21, is being set up from Monday. It should allow part of French savings to be dedicated to financing low-carbon projects. This is part of the Green Industry Act, the aim of which is to reindustrialise France while promoting decarbonisation.

“Only one plan can be opened per natural person” and payments are limited to 22,950 euros, specifies the government website.

A new delimitation of rural areas

The reform of the “rural revitalization zones” (ZRR), renamed FRR, comes into force this Monday. Some 20,000 rural municipalities will be included in the new zoning, which opens the right to tax and social exemptions to support activity in rural areas. This system is often cited by elected officials as a means of attracting medical and paramedical professions to rural areas.

The reform also creates two levels of zoning: FRR base and, for the quarter of municipalities that need it the most, a reinforced FRR plus level.

Slight increase in car and home insurance

Auto and home insurance will increase by a few cents this Monday due toan increase in the “attack” tax. This tax, which helps finance the Guarantee Fund for victims of acts of terrorism and other offenses, will increase by 60 cents from 5.90 euros to 6.50 euros.

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