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Politics
poverty
poverty policy
Institute of Public Economics
low-income household
Individual Income Supplement
Thursday, 16 July 2026 - 08:43

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Big differences in municipal support for low-incomes; €85 in Amsterdam, €1,050 in Diemen

The support municipalities provide for residents with very low incomes differs widely. Living a few kilometers away could make a difference of hundreds of euros a month, the Volkskrant reports based on research by the Institute of Public Economics - a think tank founded by former civil servants that investigates issues on its own initiative.

The researchers examined the Individual Income Supplement, an allowance available in almost every municipality, intended for people living in long-term poverty. Diemen pays one of the highest Individual Income Supplements at up to €1,050 per year. But if you live about four kilometers away in Amsterdam, you can only count on €85 per year.

There are often major differences between neighboring municipalities. In Almelo, a couple with children earning an income at the social assistance level can count on a supplement of €115 this year. In the neighboring municipality of Twenterand, a similar family will get €900, a difference of €786. In De Bilt, a single parent will receive €694 more this year than a single parent in the neighboring Utrecht.

Municipalities with a low Individual Income Supplement often also have other schemes to support low-income households. But here, too, the differences persist. In Haarlem, a household can receive up to €343 in monthly allowances from all schemes combined. In Alphen aan den Rijn, a similar household receives €89 per month.

According to the researchers, the differences go beyond the amount of the Individual Income Supplements. Municipalities also differ in their definition of “long-term” in long-term poverty or in what constitutes a minimum income. Some municipalities pay out the allowance after one year in poverty, some after five. Some municipalities pay the allowance to residents at the social assistance level, while others pay out to people up to 150 percent of the social assistance level.

“The differences between them are even greater than initially thought,” researcher Jasper J. van Dijk of the Institute for Public Economics told the Volkskrant. According to him, this study again shows that local poverty policy needs to be “fairer and simpler.” He suggests providing this income supplement nationally, and therefore uniformly.

“It is inexplicable that your rights can be very different just a few hundred meters away,” Van Dijk said. This damages citizens’ trust in the government, he said.

Three years ago, a study by the Social Minimum Commission also highlighted the divergent municipal poverty policy. Commission chair Godfried Engbersen, a professor of sociology, said at the time that many people get lost in a labyrinth of national and local regulations. Many struggling people don’t know what they are entitled to or how to apply. The Commission urged the government to simplify poverty policy, stressing that people must be treated equally, regardless of their place of residence.

Since then, the government has taken no concrete steps to reduce the disparities, Engbersen told the Vokskrant. He is, therefore, pleased with this in-depth study by the Institute for Public Economics. "Security of existence should not be postcode-dependent," he said. “Decisions must finally be made to change this.”

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