Public petition n°4246

Petitioner: Olivier Cano

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This petition aims to invite the Government and the Chamber of Deputies to expand and institutionalize the "Logementsdësch" into a National Commission to Combat the Housing Crisis, which would meet monthly under the authority of the Prime Minister. In addition to the relevant ministries in this field (Housing, Home Affairs, Environment, and others), this Commission should bring together Syvicol, the Chamber of Employees (Chambre des Salariés), the Chamber of Skilled Trades (Chambre des Métiers), the Luxembourg Bankers' Association (ABBL), the Housing Observatory (Observatoire de l'habitat), the Real Estate Chamber (Chambre Immobilière), and NGOs active in consumer protection (ULC, Fondation pour l'accès au logement, Mieterschutz asbl). The responsibility of this Commission would be to develop, coordinate, and accelerate the implementation of a multi-year national response to the housing crisis, reporting on proposed measures and their progress to the Chamber of Deputies at least twice a year. Among the measures the Commission could consider are, among others: • The issuance of an annual public housing bond program of 500 million euros for 4 years, fully invested in the creation or acquisition of affordable housing. • A national target of 20% affordable housing. • Doubling the maximum amount of the state guarantee for housing loans in order to facilitate access to credit for first-time buyers.

The housing crisis is a national crisis that requires a national response. According to estimates, an additional 137,000 homes will be needed in Luxembourg by 2035 to meet demand. However, Luxembourg built just over 38,000 homes between 2012 and 2022. During the same period, the construction sector lost almost 5,000 jobs between 2022 and 2023. This extreme housing shortage results in unsustainable housing prices that impact the entire population, especially young people. The country is facing a permanent crisis that demands innovative and ambitious solutions. Nevertheless, the latest measures announced by the government under the "Booster fir de Wunnengsbau" program show that current policy continues to rely on the same solutions (e.g., accelerated depreciation). These measures have not solved the crisis in the past and will not do so in the future. By creating a National Commission that brings together all relevant state services as well as private sector stakeholders, the objective would be to finally generate momentum and a national ambition to address the housing crisis in a comprehensive, coordinated way with radical measures. The creation of such a Commission would also ensure that resolving the housing crisis does not fall under the sole responsibility of the Ministry of Housing. All ministries, administrations, and public and private actors should contribute, within the framework of their respective competencies, to achieving this primary and shared objective. The monthly schedule of these meetings would compel the various state services to advance projects as quickly as possible, and the bi-annual progress report to the Chamber of Deputies would ensure transparency regarding progress for citizens.