Henri, Grand Duke of Luxembourg, has announced he will step down from his role as head of state in 2025.

Delivering an emotional Christmas speech on December 24, the Grand Duke revealed it would be his last festive broadcast.

Henri, who has led Luxembourg for nearly 25 years, will abdicate in favour of his son Guillaume, who has already assumed many of his father's duties in recent months in the role of Lieutenant-Représentant.

The outgoing Grand Duke, reflecting on his reign, told viewers: "It has been a period during which Luxembourg has undergone great changes, and I am proud to have been able to, together with the Grand Duchess, walk this path with you."

He described a quarter of a century marked by challenges, opportunities and conflicts, which forced him to "think and question" himself.

Henri continued: "But they also strengthened our sense of belonging to the same nation. We have remained united in making Luxembourg an even more welcoming place, within a sustainable environment."

In a wide-ranging abdication speech, Henri identified climate change as "probably the greatest challenge" for the future, according to a report of his speech published on Luxembourg broadcaster RTL's website.

He also pointed to geopolitical tensions, wars and "economic upheavals", urging Luxembourgers to remember the lessons of history.

The Grand Duke said the liberation of Auschwitz 80 years ago showed the "abyss of cruelty" embedded in people who deny what is inherent to humanity, "defending our fundamental human rights". Henri cautioned: "Let us never forget this."

The royal went on to hail Luxembourg as an "extraordinary" place where "solidarity" between foreigners and Luxembourgers is a strength.

Henri said: "We can be proud of what we have accomplished so far. This is certainly the message I hear from many fellow citizens of foreign origin whom I meet during my travels across Luxembourg."

Grand Duke Henri became Head of State of the Grand Duchy of Luxembourg on October 7, 2000. He married Maria Teresa Mestre on Valentine's Day, 1981, and the couple went on to have fours sons and a daughter.

The Grand Duke's reign has not been without controversy, with his refusal to assent to a law on euthanasia leading to constitutional reforms which resulted in Luxembourg's head of state no longer having to sanction laws for them to take effect.

Henri and Maria's eldest child, Prince Guillaume, became Lieutenant-Représentant in October, which allowed the Grand Duke to delegate certain powers to his son.

In his abdication speech, Henri went on to thank "everyone" working for the country who adds to the Duchy's prosperity, going on to say the country will face future challenges with confidence and courage.

He added: "For many in my generation, the time has now come to step back and retire. It's a natural process with its own reasoning, and it applies to me as well."

Henri then confirmed Prince Guillaume and his wife, Princess Stéphanie, will take the reins, starting on October 3, 2025, adding: "I know they will contribute with all their strength to the well-being of the country."

The Grand Duke follows Denmark's former monarch, Queen Margrethe II, who announced her abdication plan in her New Year's address on New Year's Eve last year.