€566 million in coronavirus support for provinces, municipalities

Covid-19: Reminder to stay 1.5 meters apart in Amsterdam Noord, 18 May 2020
Covid-19: Reminder to stay 1.5 meters apart in Amsterdam Noord, 18 May 2020NL TimesNL Times

The government is allocating 556 million euro to municipalities, provinces and water boards to cover missed income and financial damages caused by the coronavirus crisis. The money is intended keep services to citizens going uninterrupted. "The corona crisis has a huge impact on all Dutch people. It is municipalities, provinces and water boards that are closest to people in this uncertain time," Minister Kasja Ollongren of Home Affairs said, NOS reports

Last month municipalities already warned that they were facing financial trouble. The fight against the coronavirus resulted in many unforeseen costs. At the same time the lockdown resulted in them losing income from parking fees and tourist taxes, among other things. 

225 million euros of the aid money will go towards covering lost tax revenues. Money is also allocated for childcare for people with crucial professions, and for libraries, film houses and music schools. 60 million euros will go towards culture. And part of the money will go towards social employment services, youth care and informal care. 

Negotiations about compensation for running public transport with a decreasing number of travelers, for the GGDs, and for community centers are still ongoing. 

The government, municipalities and provinces also agreed that the municipal- and provincial funds will be set at a fixed amount for this year and next year. These funds are usually based on national government expenditure, but the coronavirus crisis is causing too many fluctuations in that to provide any certainty at this time.