Introduction of a substantial "Natal Capital" as a one-time payment for the second child and each subsequent child.

Public petition n°3982

Petitioner: Olga Brim

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This petition calls for the establishment of a high-capital, one-time birth grant awarded upon the birth of a second child and each additional child within a household residing in Luxembourg. The goal is to remove the financial barriers associated with growing a family through massive and targeted support, specifically enabling access to property ownership and long-term financial security for children.

1. Responding to the Demographic Urgency and International Lessons Luxembourg, like many of its European neighbors, faces a major demographic challenge. International experience shows that direct and significant financial incentives are the only levers capable of sustainably influencing the birth rate. By providing significant financial backing starting with the second child, the State ensures that welcoming a new family member is no longer a source of financial stress, but rather a foundation for long-term household stability and growth. 2. Leverage for Housing and Financial Stability The cost of housing in the Grand Duchy is the primary obstacle to family expansion. To serve the public interest, the use of this capital would be strictly regulated by law and reinjected into the local economy. The funds could be released exclusively for: - The personal contribution (down payment) required for the purchase of a primary residence in Luxembourg; - The partial repayment of an existing mortgage related to the primary residence, in order to reduce the household's monthly expenses; - Investment in regulated financial vehicles in Luxembourg (pension funds, life insurance, or education savings plans blocked in the children's names). 3. Residency Criteria and Prevention of "Birth Tourism" To ensure that this measure benefits families durably rooted in Luxembourgish society and to avoid any "birth tourism," strict conditions are proposed: Local Anchoring: At least one parent must have been officially domiciled in Luxembourg for at least 12 consecutive months prior to the birth. Social Purpose: The aid is designed to stabilize the country's demographic structure over the long term. 4. A Strategic Investment for the Nation This natal capital should be considered a public investment with a high social return. By encouraging the birth of future citizens within financially stable, home-owning households, the State ensures the long-term viability of its social security system, pensions, and overall economic vitality.