The Government spent €2 billion more than they received in the last nine months

The Dutch government spent more than 2 billion euros more in the first three quarters of this year than it received. This was calculated by Statistics Netherlands (CBS).

According to the statistics agency, the income and expenditure of the government increased by seven percent. Benefits and healthcare expenditure increased the most, by almost 14 billion euros. The government also spent money on a recovery scheme for Dutch citizens who have been affected by the wealth tax in box 3, also known as the savings tax.

In the autumn memorandum, the Ministry of Finance assumed a deficit of 17 billion euros for the whole of 2024, which is equal to 1.5 percent of the total size of the country’s economy. To reach that, the government would have to spend almost 15 billion euros more in the last quarter of this year than it receives in income, according to Statistics Netherlands.

Government debt is also taken into account for a good picture of government finances. This fell by almost 12 billion euros to 470 billion euros in the first three quarters of the year.

The debt ratio, government debt as a percentage of the economy as a whole, has fallen further as a result. At over 42 percent, this indicator is at its lowest level since Statistics Netherlands started keeping track of this in 1995.

The government balance and the debt ratio are important indicators for the state of government finances in the Netherlands. European standards stipulate that the government deficit may not exceed 3 percent and government debt may not exceed 60 percent of GDP at the end of the year.