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Consumer confidence in Luxembourg fell to a one-year low in March as inflation expectations surged.

Household confidence in Luxembourg deteriorated significantly in March, according to a survey by the National Institute of Statistics and Economic Studies (STATEC).

Consumer confidence “fell sharply (to its lowest in a year)”, STATEC reported, with households expressing gloomier expectations regarding both the economic situation and their personal finances. Meanwhile, inflation expectations “rebounded strongly, reaching their highest level since September 2022". With energy prices remaining under pressure and eurozone inflation rising to 2.6%, residents fear a fresh blow to their wallets.

While households are proving more cautious, the labour market displays contrasting dynamics. Cross-border employment is growing significantly faster than domestic employment: up 2% year-on-year in the first quarter, compared with 1.2% for residents. Cross-border workers living in France are driving this increase, with a rise of 3.5% over the year, representing an additional 4,270 employees. They are particularly present in retail, finance, and business services, though the strongest growth is in health and social work. The number of cross-border workers from Belgium has started to rise slightly again, while those from Germany continue to decline.

Also today

• Demand for mediation services at the ILR fell slightly in 2025, but the cases that did arrive have become increasingly complex
• The SNE gave a mixed verdict on the new action plan for inclusive primary education, welcoming some changes while criticising increased administrative burdens
• Falling academic results have prompted Sweden to reverse its digital-first education policy, with the government now requiring physical textbooks for every subject and phone-free schools.
• Germany and Italy today rebuffed calls to suspend an EU cooperation deal with Israel, despite rising anger over the war in Lebanon and the situation in the West Bank
• Kevin Warsh, Donald Trump’s choice to lead the US Federal Reserve, vowed Tuesday to protect central bank independence at his confirmation hearing
• Britain’s government has today announced measures aimed at weakening the link between world market gas prices and the cost of UK electricity as the Middle East crisis fuels energy bills.

On air

Hugo One joined us in the studio at ‘Drive’ to give us the first play of his new summer track: ‘Va Va Voom’!

Figure of the day

Culture Minister Eric Thill unveils 99 measures in new national action plan

• One year after first announcing the initiative, Minister for Culture Eric Thill on Tuesday presented a national action plan for access to culture, outlining 99 measures across seven priorities.
• Minister for Culture Eric Thill has presented a national “Access to Culture” action plan, which includes seven priorities, 33 objectives, and 99 measures. One of the plan’s key priorities, unveiled by Minister Thill on Tuesday, is to “remove barriers and open the doors of culture to everyone”.
  

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