2023 Budget: What we know so far

On Prinsjesdag today, the Cabinet will present its plans for next year's budget. As per tradition, the media has already leaked measures from the budget.

There will be a "historic" purchasing power package costing more than 17 billion euros. Due to the package, households will have 3.9 percent more to spend next year, according to calculations by the Central Planning Office (CPB). Purchasing power is expected to decline by almost 7 percent this year. One of the most significant measures is a substantial increase in the minimum wage, which will also mean a sharp increase in benefits. The tax for companies and the wealthy will increase, the income tax for citizens will decrease, and some allowances will go up. The fuel tax cuts will remain in effect for the first six months of 2023.

The premium for compulsory basic health insurance will likely increase by approximately 10 euros per month. At least, that is the guideline the government will announce based on the estimates for healthcare costs. Health insurers may set their own premiums, but insiders expect they won't deviate much from this amount.

The government will only compensate savers who objected to the excessive savings tax they paid on their savings. That involves 3.6 billion euros. The compensation follows a ruling of the Supreme Court. If all savers got their excess taxes refunded, it would cost the treasury several billions.

On Monday evening, the government decided to set a price ceiling for energy until the end of 2023. The measure will apply from January 1, but in practice, the energy bill will already be reduced on November 1. It was previously announced that there would be an emergency fund for people who run into payment problems due to high energy bills.

The Cabinet will also present the climate memorandum on Tuesday, showing how the plans are progressing to reduce greenhouse gas emissions by at least 55 percent by 2030 compared to 1990. The objectives of the climate policy are laid down in the Climate Act. The Cabinet must annually account for the policy pursued, partly based on calculations by the Netherlands Environmental Assessment Agency. The Council of State will also issue a recommendation.

Other big themes on the Cabinet's agenda include the nitrogen crisis, farmers' protests, and the crisis in asylum reception.