New Luxembourg PM makes debut speech in parliament

Luc Frieden addressed Luxembourg's parliament for the first time as the country's new prime minister on Wednesday, putting digitalisation, taxes and a push to cut red tape at the heart of his inaugural speech.

The parliament has been fully constituted since Tuesday, when 21 deputies, including eight former ministers, joined their parties in the Chamber of Deputies.

Frieden, who was sworn in on Friday, stood in front of the 60 lawmakers to present the CSV-DP’s coalition programme for the next five years.

Though the deputies were meant to be the first ones to see the agreement, “it didn’t really work out that way,” Frieden said during his address.

The document had been leaked by news site Reporter on Friday morning.

Less red tape

The cutting of red tape, digitalisation and modernisation: these were the three concepts that stood out throughout Frieden’s speech.

Simplifying administrative processes for companies, residents and public institutions alike will be one of the ambitions of the CSV-DP coalition, Frieden said, and would speed up efforts to tackle the housing crisis and digital and green transitions.

“I have asked all ministers to ensure that the administrative procedures in their administrations that have arisen over the years - often for good reasons - are reviewed and shortened and to give guidelines to the administrations to create a modern, citizen-friendly, digital and fast state,” Frieden said.

A ‘once only’ approach will stop companies and citizens from having to complete several forms containing the same information. Likewise, when it comes to the construction sector, “silence equals agreement” meaning that if nobody opposes a building project, it will be able to proceed.

The new prime minister also spoke of the government’s ambition to create a “modern Luxembourg” where progress must be made in digitalisation, renewable energy, infrastructure and the healthcare sector.

Tax plans

As Frieden said at the start of his address - which was delivered mainly in Luxembourgish but at times delved in French - “the new chapter builds on what previous generations have accomplished,” including the work done by the previous DP-LSAP-déi Gréng coalition.

In several areas, the coalition agreement has committed to proceeding with strategies inherited from the outgoing government, like former Green transport minister François Bausch’s National Mobility Plan.

Frieden also mentioned some of the tax efforts his cabinet plans on implementing. Though promises made during election campaigns have been kicked down the road, Frieden highlighted some measures his government will take, including an unspecified tax relief for people in the 1A tax bracket and an adjustment of tax brackets.

Fixing the housing issue - through a more accessible and broader market - as well as developing the healthcare sector will enable Luxembourg to “avoid a social crisis”, Frieden said.

As part of efforts to plug gaps in the labour market, migrants who have requested international protection in the Grand Duchy will be able to apply for jobs four months after their request.

The parliament - in which the CSV holds 21 seats and the DP has 14 - will begin debating the coalition programme on Thursday morning.