purchasing power will grow by an average of 1.8 percent next year


What do we already know about the plans for Budget Day?

The government is allocating an additional 2 billion euros to… purchasing power to grow something from everyone and families from the poverty to assist.
The healthcare and housing allowance become increased. The maximum rental allowance will increase by 416 euros next year.
It child-related budget grows. The maximum amount for the first child will increase by 750 euros, for the second child and further by 883 euros.
Higher incomes and higher middle incomes go more tax pay on part of their income.
The health insurance premium increases by an average of 12 euros.
Beer and cigarettes become more expensive.
The government does not intervene in the fuel prices. The tax on fuel will rise again next year, meaning that citizens will pay ten euros more for a full tank at the pump.
The prices of traffic fines increase ten percent up, almost half of that increase is intended to close a gap in the national budget. A fine for passing through drive red For example, next year it will cost 300 euros, the fine for making calls while driving will increase to 420 euros.
The unemployment increases from 360,000 to 405,000 people.

It is still unclear exactly how much more expensive a pack of cigarettes or a beer will be. From next year, a pack of rolling tobacco would cost an average of 20 euros, while the average price for cigarettes would be 10 euros. But those prices will be slightly higher. The government hopes to raise an additional 54 million euros annually with the increase in alcohol tax, and 46 million euros in additional revenue from cigarettes.

The idea behind it: we can benefit all Dutch people. Although purchasing power has not yet returned to the level of previous years. Inflation has cut too much for that.

Fuel

The government does not intervene in fuel prices. Fuel taxes will rise again next year after being temporarily reduced. But the government is not yet addressing this, which means that citizens will pay ten euros more at the pump in January for a full tank.

The ministers leave further intervention to the House of Representatives, because this would save hundreds of millions of euros in tax revenue and that money cannot be missed at the moment. The House of Representatives can still force taxes to be reduced again, for example in the debate after Budget Day, but will then have to make cuts on other files.

Change

The fact that the government is putting on the brakes on expenditure is partly because it is outgoing: it does not want to rule beyond its grave. But the turnaround already started in the spring: the money has simply run out.

With all the expenditure of this government period – climate, nitrogen, Groningen, benefits parents, defense – Rutte IV rode ‘along the guardrail’ from a financial perspective, as the Council of State calls it. And especially since the economic dip and the rise in interest rates, attention has to be paid to the little ones. That is why it was decided in the spring to cancel various subsidies and postpone the plan for almost free childcare.

Even with these measures, the cabinet leaves little behind for his successor.