The invention belongs to the technical field of luminescent materials, and particularly relates to borosilicate rare earth luminescent microcrystalline glass, and a preparation method and applicationthereof. The chemical composition of the borosilicate rare earth luminescent microcrystalline glass is aMO.bLn<2>O<3>.cB<2>O<3>.dSiO<2>.eAl<2>O<3>: xBi, yGe, zRE. According to the invention, rare earth ions including RE, Bi, Ge, Al and the like are doped into the microcrystalline glass, and a crystal field around the rare earth ions is further adjusted by utilizing different ion radiuses, coordination potentials, bond types, bond lengths, coordination numbers and the like of the rare earth ions, so the control of color and luminous intensity is facilitated; and through sensitization of Bi ionsto other rare earth ions (such as Tb<3+>, Eu<3+>, Tm<3+>, Dy<3+> and the like), the microcrystalline glass has higher luminous intensity and can be applied to LED luminescent devices.