Country Report Luxembourg 2020

Country Report Luxembourg 2020

The European Commission recently presented its annual economic and social analyses of the Member States, including progress in implementing country-specific recommendations and an assessment of possible economic imbalances.

The Commission believes that the resilience of the economy would be further strengthen by improvising housing supply. The Commission notes that, following the 2019 country-specific recommendations, limited progress was made in increasing housing supply, including by increasing incentives and lifting barriers to build.

The Commission notes that investment remain relatively weak in sustainable housing, considered insufficient for the level of demand.

Housing prices continue to increase, driven by the large gap between demand and supply. Demand is influence by dynamic population growth, benign financing conditions and a large cross-border workforce. Housing supply and investment are insufficient, because of insufficient land availability and insufficient supply of social housing. 

The Council is expected to discuss the country reports together with the results of the in-depth reviews. In the coming months, the Commission will engage with Member States to seek the views of national parliaments, governments, social partners and other stakeholders on the analysis and conclusions of the country reports. In April, Member States are expected to present their National Reform Programmes, detailing national reform priorities. On the basis of these programmes and the country reports, the Commission will present its proposals for a new set of country-specific recommendations in spring 2020, targeting the key challenges that Member States should address in 2020-2021.

Please find the report here.