Gary Diederich, who is set to be sworn in as a new MP for déi Lénk this week, defended his party's support for the government's tax reform, while insisting that much more needs to be done to ensure real tax justice in Luxembourg.
Speaking to RTL, Diederich stressed that his party made its decision based on the immediate needs of low-income earners. He acknowledged that the reform, which introduces a single tax class, falls short of delivering the broader fairness déi Lénk wants, but it is the only measure that really benefits people who urgently need relief right now.
Diederich emphasised that the party did not support the reform as a political gift to the government, but because it brings tangible help to vulnerable groups. He rejected any suggestion that déi Lénk's support for the reform weakens their stance on government policies. Instead, he confirmed that the decision to back the reform was not taken lightly, but rather was the result of near-unanimous agreement in the party's national coordination committee.
Nevertheless, Diederich criticised the government for failing to introduce structural changes, arguing that a more just system would require progressive taxation not only on income, but also on capital. He argued for changes such as reinstating higher corporate tax rates, reversing previous cuts, and introducing a progressive inheritance tax with appropriate exemptions for smaller inheritances, which could significantly improve public finances.
Turning to the housing crisis, Diederich highlighted the need for urgent measures to protect tenants. He discussed déi Lénk's push for a rent cap, which the party has promoted through a new petition and campaign.
Diederich criticised the current system for allowing speculation to distort rents and stressed that public and affordable construction is also necessary. Nonetheless, the rent cap would provide immediate relief.
Diederich was sceptical of recent government proposals to offer accelerated depreciation on new affordable homes, arguing that these are merely tax gifts and do little to solve the underlying problems.
As Diederich prepares to leave his role in the Differdange municipal council, he also commented on recent revelations about a cybersecurity incident in which over €407,000 was transferred to the wrong account after the rightful recipient was targeted by hackers. Diederich said that political leaders cannot evade responsibility, acknowledging that mistakes were made both by staff and elected officials.
He criticised the delayed communication around the incident, adding that he expected more openness and a clear plan to strengthen procedures so the municipality becomes more resilient against such attacks.
Diederich concluded that, moving forward, he hopes the town will learn from this and improve its systems to protect public funds and restore confidence.
