VideoThe government is quelling hopes of fixing the purchasing power of citizens now that they have high energy bills and face high inflation.
Tobias den Hartog
According to Deputy Prime Minister Sigrid Kaag, “it is not possible” to “arrange” inflation compensation and energy bills “for everyone” in the Netherlands, without passing the bill to “future generations”. “High inflation is a really huge blow, but we have to do it carefully.”
According to Kaag, the cabinet is looking into the problems, but the options are “limited,” she said during a press conference after the cabinet meeting. She suggested that especially low incomes can expect compensation, but middle incomes, for example, should not rely on more than money already allocated when inflation was lower than it is now.
Inflation is high and the energy bill is due in a year At least 86 percent higher, the Central Bureau of Statistics (CBS) reported today based on the new figures. Thus, a family with an average consumption pays 110 euros more per month on gas and light.
Kaag says the government is not blind to problems. I understand that people are worried about high prices. There is still a lot of uncertainty and it is difficult to predict how long inflation will rise.” But she said, “Everyone can only be compensated if we pass the bill on to future generations. This is the honest story.”
In the spring, the government will look at what can be done to improve purchasing power. The European Central Bank is still doing the math. But Kaag prefers not to let the government’s investment agenda, such as climate and defense, suffer from purchasing power reform. Because investments are also required in safety and climate. Also to ensure future jobs. But we still have to discuss this within the cabinet.”
Kaj wants to see what is possible within ‘budgeting frameworks’. This is the point of The Hague: the government is not ready to allow the budget deficit to rise any further in order to bolster purchasing power. ,, But we’ll do a wide weighting after March 9th, then we have the calculations, then we have the data. No decision has been made, and we will do so in an orderly fashion. Rushing is a bad advisor. Kag says.
However, she doubts there will be a rebound in purchasing power before 2022. “The options are limited.”
Minister Carola Schuten said earlier in the day that an amendment to the law required to speed up interviews with people involved in social care in the amount of 200 euros will soon be presented to the House of Representatives. “This will not take months. We will do this as soon as possible. We understand that it is very urgent.”
In addition, she notes that the previous government compensates the Dutch once this year More than 400 euros per family. The question is whether there is more to it. “The government is looking more broadly at purchasing power in the spring,” Schouten said. “Frankly, we have to say we can’t solve everything as a treasury. We’ll look at the spring. Then weigh everything more broadly.”
Watch all of our videos about politics here:
Join the conversation
You can reply at the bottom of this article. Only respected comments with full name will be posted. We do this because we want to have a conversation with people who endorse what they are saying, and who also put their name on it. If you still need to enter your name, you can do so by clicking “Login” at the top right of our site.
Unlimited free access to Showbytes? And that can!
Sign in or create an account and never miss a thing from the stars.
“Lifelong zombie fanatic. Hardcore web practitioner. Thinker. Music expert. Unapologetic pop culture scholar.”