Flemish budget 611 million extra in red, and that is the fault of the federal government
Flemish minister of budget Ben Weyts.
The measures of the De Wever government let themselves feel in the Flemish greenhouse. In 2029, the 611 million extra will go in red. Budget minister Ben Weyts (N-VA) announces new measures.
The federal government of Prime Minister Bart De Wever (N-VA) makes it a court store to remediate the budget towards acceptable deficits. But the measures they take are an extra gap in the budget of the Flemish government. In the 2025, 2026 and 2027, the impact is still slightly positive. But in 2029, at the end of the legislature, the Federal Coalition Agreement will enforce the Flemish greenhouse with 611 million euros. This is apparent from calculations by the Finance and Budget Department commissioned by Flemish budgetary minister Ben Weyts (N-VA).
The main cause is the federal tax reduction. The negotiators of MR, N-VA, CD&V, Les Engagés and Vooruit finished after months of conversations on a net tax reduction of 1.5 billion euros. The tax -free sum is raised in the personal income tax, especially towards the end of the legislature – or closer to the elections. That of course ensures less income for the government. The federal, but also the Flemish, since those surcharges demands the personal income tax.
The Flemish government had already prepared for that additional gap. « We already provided a buffer of 250 million in September, » says Weyts. “But we note that the impact will be even greater. So we will now have to be careful and provider again. » Weyts is already announcing new measures. « The figures make it clear that we have to make extra efforts in Flanders to balance and keep our budget in balance. »
Job bonus
All the more because the invoice may still increase. The Flemish government thought it was able to abolish the job bonus – a financial stimulus for the lowest wages – by the federal tax reduction, and that from 2027. But Weyts fears that the abolition will come too early. “In that case we will also have to adjust Flemish to prevent the burden for the working Flemish people from getting rather. Hopefully we will get more clarity about this soon and if necessary we can intervene with the budget formatting in September ”
