Joseph has been a regular for England during the Nations Cup, but he misses out on Sunday due to a calf issue.
Watson has come in for Joseph and he is the only change from the side that beat Wales 24-13 at the Parc y Scarlets last weekend.
“We’re really looking forward to this final, playing France and having another chance to win a trophy this autumn,” said head coach Eddie Jones.
“We’d like to congratulate the tournament organisers on putting this on in difficult circumstances.
“Over the past two months the players have put in real effort, worked very hard on and off the pitch and have met the protocols and new ways of working.
“This has been another positive learning week with tough, hard training and we’re looking forward to getting on the pitch in front of our fans and playing a good game of rugby.”
England have named an unchanged pack, while they have opted to go for five forwards, instead of six, on the bench.
Jones has favoured an extra forward on the bench this autumn, but he has opted to name another back for the match at Twickenham.
Joe Marchant is the beneficiary of that and the Harlequins centre is among the substitutes after returning from injury. Fellow centre Ollie Lawrence, who has been struggling with a hip injury, misses out.
There is also no place for Harlequins prop Joe Marler, who has not played in any of England’s five games this autumn after being injured last month.
England head into the match with France looking to extend their seven-game winning streak.
Their last defeat came to Les Bleus in February, but since then they have won the Six Nations.