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Where does our money go when we take the train? If, like 78% of French people, you regularly take the train to go to work, visit family or go away for the weekend, you’ve inevitably found yourself grumbling about a delay, an overpriced ticket or an overcrowded carriage. And behind all these annoyances, one question keeps coming up: “but where does my money actually go?”
We often hear that SNCF “costs billions to taxpayers” or that it is “a burden on the community”. But what are we really talking about? Who pays for what? And above all: what do we collectively gain from rail? Let’s break it down with facts, figures and no fantasies, based on public data.
And if you’d rather experience this investigation immersively, you can watch our video breakdown or listen to it as a podcast:
Before talking about money, we need to set the scene. Because understanding how SNCF is funded first requires understanding what SNCF actually is today.
Created in 1938, SNCF was born from the merger of failing private companies to build a national public rail service. For decades, its mission was clear: serve the entire territory, including remote areas, with affordable fares and a focus on territorial cohesion.
In the 1990s, the model evolved under the influence of European rules and national reforms. In 1997, the State created Réseau Ferré de France (RFF) to separate rail infrastructure management from train operations. Then came the opening of freight to competition in the 2000s.
The major turning point was the 2018 railway reform, implemented in 2020: SNCF became a public limited company with 100% state ownership, structured like a conventional company, but still entirely owned by the State.
Today, we therefore speak of the SNCF Group, made up of several entities:
In short, two essential points to remember:
Since 2020, any operator can theoretically run trains on the French high-speed network, provided they comply with safety rules and pay track access charges to SNCF Réseau.
And no, SNCF Réseau cannot favour SNCF Voyageurs: there is a strict “Chinese Wall” between the two entities to prevent conflicts of interest. Same time slots, same rules, for everyone.
On high-speed lines, services are considered “open access”: they are not subsidised and must be profitable solely through ticket sales. This applies both to new entrants and to SNCF Voyageurs’ own TGV services.
Alongside this, there is the public service sector:
Here, public authorities choose the operator and pay them for the service provided. And they then decide not to pass the full cost on to passengers through ticket prices.
One important point to keep in mind: none of this constitutes privatisation. The SNCF Group remains a public company, whose sole shareholder is the State.
Now we get to the heart of the matter: does SNCF “cost” taxpayers money? Yes. But what exactly is being funded, and to what extent?
In the SNCF Group’s 2024 financial and sustainability report, we learn that €10.8 billion comes from public sector clients.
This corresponds to:
These are simply public service contracts, comparable to waste collection or water management: a public authority pays for a service delivered. That’s it.
In 2024, €11 billion were invested in the rail system, financed 50% by the SNCF Group and the rest by the State and local authorities.
Another key element: in recent years, the vast majority of the Group’s profits have been reinvested into rail through a dedicated fund. In 2024, this amounted to €1.7 billion.
The State could choose to allocate these dividends elsewhere. It has made the political choice to reinject them into rail.
And yes, the State also took over €35 billion of SNCF Réseau’s debt between 2018 and 2020, linked to investments in high-speed lines.
Because rail is often judged in isolation. But mobility needs to be looked at as a whole.
The French road network spans over one million kilometres. And maintaining it costs colossal sums.
And that’s just the infrastructure. The vehicle, fuel, maintenance? That’s on us.
In 2023, French households spent €192 billion on transport, 80% of which went to the car.
Public authorities choose not to pass the full cost on to passengers. For example, fare revenues account for only 33% of Île-de-France Mobilités’ resources.
In other words: yes, trains are supported by public money. Like roads. Like healthcare. Like education.
This is where we get to the core of the issue. Because the debate can’t just be “how much does it cost” — we also need to look at what it avoids and what it generates.
In 2023, rail accounted for 107 billion passenger-kilometres.
If these journeys had been made by petrol cars, they would have generated nearly 11.7 million tonnes of CO₂ equivalent, almost 12 times more than rail.
With a social cost of carbon of €172 per tonne, that represents over €1.8 billion saved in 2023 thanks to rail. And this cost is only rising.
Fine particle pollution costs €12.9 billion per year. Nitrogen dioxide, €3.8 billion.
And 49% of nitrogen oxide emissions come from road traffic. Rail, by comparison, is far less polluting.
In 2024, rail activities generated over €16 billion in works, equipment and services, with 20,000 suppliers, including 12,000 very small and small-to-medium enterprises.
97% of these companies are based in France. The result:
Trains are not “just” a transport service: they are a strategic industry, an industrial fabric and an ecosystem in their own right.
So, does the SNCF Group cost taxpayers money? Yes. Does it bring money back? Massively.
In the face of bashing and figures often presented out of context, it seems essential to keep a critical eye. Because when we put these numbers into perspective with the benefits for the climate, public health, the economy and the mobility of millions of people, the picture changes.
We hope this breakdown helps you better understand what our rail system costs — and above all, what it delivers. And if you want to go further, don’t hesitate to listen to our podcast episodes dedicated to the price of train travel.
Issue du monde de la communication et des médias, Sophie est Responsable éditoriale chez HOURRAIL ! depuis août 2024. Elle est notamment derrière le contenu éditorial du site ainsi que La Locomissive (de l'inspiration voyage bas carbone et des bons plans, un jeudi sur deux, gratuitement dans ta boîte mail !).
Convaincue que les changements d’habitude passent par la transformation de nos imaginaires, elle s’attache à montrer qu’il est possible de voyager autrement, de manière plus consciente, plus lente et plus joyeuse. Son objectif : rendre le slow travel accessible à toutes et tous, à travers des astuces, des décryptages et surtout, de nouveaux récits.
