More cutbacks to tackle extra Dutch deficit

9th December 2011, Comments 0 comments

At home, Dutch Prime Minister Mark Rutte will have to get his own book-keeping on track. His conservative VVD and smaller Christian Democrats coalition partner are preparing measures to tackle an unexpected extra budget deficit of at least five billion euros.

The Netherlands Bureau for Economic Policy Analysis will present the government with economic forecasts next Tuesday. Then government, which is dependent on parliamentary support from Geert Wilders’ Freedom Party, will then announce the extent of the new cutbacks, which come on top of an 18-billion-euro austerity package implemented this year.

Dutch newspaper reports that new cutbacks could even be in the region of ten billion euros. It’s reported that the financial state of many local government bodies is alarmingly unhealthy, now that the country is hit by a new, deepening recession.

Sources near the government say that draconian cuts can be expected in the housing and job market sectors.  

© Radio Netherlands Worldwide

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