“Luxembourg, contrast at the border” is the title of the report that the Arte channel came to shoot this fall in the Grand Duchy. In six minutes, the media discusses the growth in the number of cross-border workers and its consequences for the border municipalities.
If on the Belgian side a tax retrocession agreement allows the municipalities of residence of cross-border workers to receive funding from the Grand Duchy, this is not the case in France. The Franco-German channel notably stops in Villerupt where 70% of the inhabitants are border residents.
The focus is on low tax revenue and limited public investment. The floor is notably given to Dominique Gros, former mayor of Metz and president of the association “Beyond the Borders”, which campaigns for a better distribution of wealth.
A windfall of 200 million euros for French border municipalities?
Vincent Hein, from the Idea Foundation, proposes to create a common territory within which would be developed project financing mechanisms that could affect mobility as well as training or even public services.
The French Development Agency (AFD) estimates that a tax retrocession from Luxembourg to French border municipalities would generate 200 million euros in additional revenue.