After looking at how well 48 different nations ranked on issues such as marriage equality, employment, adoption and medical treatment, the ILGA (European Region of the International Lesbian, Gay, Bisexual, Trans and Intersex Association) gave France a score of 65 percent on its annual Rainbow Map.
This put France in 11th place globally, three places lower than last year, in an index topped by the United Kingdom, Belgium and Malta.
"While acceptance remained high overall, homophobic and transphobic voices – cultural, political, religious – became louder and more assertive. As anti-equality groups and politicians (right-wing and far-right) continued efforts to undermine equal marriage and adoption rights acquired in 2013, the government shied away from further LGBT-friendly reforms.
"Positively, local, national, and European courts delivered several rulings affirming family rights. But lesbian couples remained barred from using medically assisted procreation despite earlier governmental promises, and legal gender recognition remained fraught with serious obstacles.
"The Ministry of Education also failed to take resolute action against discrimination in schools."
At the bottom of the list, Azerbaijan sank below Russia, which in turn trailed Armenia.
"We witnessed several countries making historic strides, while others have stalled in terms of their equality development,” commented Paulo Côrte-Real, co-chairman of ILGA-Europe's executive board.
“The vital ingredient, present in so many of the countries who have climbed in our Rainbow Map rankings, was unshakable leadership from political figures and activist leaders, often in challenging contexts.”
Meanwhile Estonia became the first former USSR country to officially recognise same sex unions by passing an historic cohabitation act and future marriage equality was approved in Finland and enacted in England, Wales and Scotland, the report noted.
Joyce Hamilton, co-chairwoman of ILGA-Europe's executive board said: “Homophobic and transphobic violence, hate speech and discrimination continue to be an everyday occurrence for some of our LGBTI neighbours. Let's hope that 2015 will bring more examples similar to Malta and Estonia. Now more than ever, Europe needs political leaders to work with and for LGBTI people in Europe".