Two European Union institutions have introduced new housing support measures in Luxembourg as the cost of accommodation continues to create challenges for people working and undertaking traineeships in the Grand Duchy.
The European Commission has introduced a specific accommodation allowance for eligible trainees assigned to its departments in Luxembourg.
Separately, the Court of Justice of the European Union has introduced a housing allowance for certain lower-paid officials and temporary and contract staff.
The measures are different, but both respond to the pressure created by Luxembourg’s high housing costs.
European Commission introduces accommodation allowance for trainees
Under new rules adopted in July 2026, trainees assigned to European Commission departments in Luxembourg and living in the Grand Duchy during their traineeship can receive an additional accommodation allowance.
The payment is subject to available funding and requires trainees to provide documents proving that they live in Luxembourg during their traineeship.
The allowance is calculated at 20% of the monthly traineeship grant applicable to the relevant traineeship session.
The Commission says the payment is intended to partially cover accommodation costs rather than meet the full cost of housing.
The measure forms part of the Commission’s updated rules for its official traineeship programme, which were adopted on 16 July 2026.
How much can Commission trainees receive?
The Commission’s current information for the March 2027 traineeship session lists an indicative basic grant of €1,572 per month for Luxembourg.
Because the accommodation allowance is set at 20% of the adjusted monthly grant, the indicative accommodation component would be around €314 per month based on that figure.
The actual amount is determined under the rules applying to the relevant traineeship session and is subject to the Commission’s funding arrangements.
The Commission’s traineeship rules also provide for a separate travel allowance and, depending on the place of assignment, a meal and public transport allowance.
Court of Justice introduces separate housing support
The Court of Justice of the European Union has introduced a different housing measure.
Its 2025 annual management report says the Court adopted a decision granting a housing allowance to eligible officials and temporary or contract staff in active service who live in Luxembourg.
The measure applies to staff whose basic salary is below the specified threshold and who meet certain family-related conditions.
The allowance is a monthly net payment ranging from €500 to €352, depending on the employee’s grade and step.
The Court says the measure is intended to help eligible staff cope with the high cost of housing in Luxembourg.
The first payments were made in July 2025, with the measure applying retrospectively from January 2025. The Court reported that an average of 409 people per month benefited from the allowance during 2025.
The Court’s trainees have a separate grant
The Court of Justice also operates its own paid traineeship programme, but its traineeship arrangements should not be confused with the staff housing allowance.
The Court says its trainees receive a grant of approximately €2,400 per month. It also provides a one-time travel allowance of €150 under certain conditions.
The housing allowance described in the Court’s 2025 management report is specifically identified as a measure for eligible officials and temporary or contract staff, rather than as a separate trainee accommodation allowance.
Why housing is a concern in Luxembourg
The measures come against the backdrop of expensive accommodation in Luxembourg.
For people arriving for temporary work or traineeships, finding suitable housing can represent a significant part of their available income.
The European Commission’s traineeship information recognises the issue directly by providing a dedicated accommodation allowance for eligible trainees assigned to Luxembourg.
The Court of Justice similarly describes its staff housing allowance as a response to the high cost of accommodation in the Grand Duchy.
Support aimed at different groups
Although both institutions are responding to housing costs, their measures target different groups. Institution Who receives the support? Type of support European Commission Eligible trainees assigned to Luxembourg Accommodation allowance equal to 20% of monthly grant Court of Justice of the EU Eligible officials and temporary/contract staff Monthly housing allowance of €352–€500
The distinction is important because the two schemes have different eligibility rules and are based on separate institutional decisions.
Luxembourg becomes a focus for EU housing support
Housing costs have increasingly become part of discussions about the attractiveness of Luxembourg as a place to work within the European institutions.
The EU’s 2025 budget documents had already provided for housing allowances for staff at lower grades in the institutions based in Luxembourg, including the European Parliament, European Commission, European Court of Auditors and Court of Justice.
The introduction of specific measures by individual institutions therefore forms part of a broader effort to address accommodation costs for lower-paid EU staff and, in the Commission’s case, trainees.
For trainees and employees relocating to Luxembourg, housing support can reduce some of the financial pressure associated with working in one of Europe’s most expensive housing markets.
Sources: European Commission, EUR-Lex and Court of Justice of the European Union.
