Budget may boost Dutch Liberals' election prospects

Subject

The Netherlands' 2017 budget.

Significance

In the final budget of its four-year term presented on September 20, the Dutch government announced it would redistribute a 1.1-billion-euro (1.2-billion-dollar) financial windfall among households. This represents a clear break from four years of austerity and tight spending, a line strictly set out by Prime Minister Mark Rutte's second cabinet in 2012.

Impacts

• An upsurge in the number of incoming migrants could fuel support for the PVV.
• The government may not address the 'no' vote in the April 2016 referendum on the EU-Ukraine association agreement until next year.
• The housing market will be boosted by incentives for first-time buyers and measures to encourage home ownership.