If the outgoing cabinet doesn’t take new measures, every one in 17 people in the Netherlands might be living in poverty by 2024.
Today, 4.8% of the Dutch population lives in poverty. However, the Central Planning Bureau (CPB) crunched the numbers and warned that if the Dutch cabinet doesn’t take action, this number will rise to 5.7% by 2024, reports the NOS. This includes a rise to 7% of children living in conditions of poverty.
What does this mean? In total, one million people in the Netherlands are likely to be living without enough money for basic needs such as food and shelter.
Point the finger at energy prices
The skyrocketing energy prices of the past several years are partly to blame for the increase of people at risk of poverty. Prices for heating up homes and electricity had more than doubled at one point, emptying many families’ wallets.
Zonder nieuw beleid loopt de #armoede op van 4,8% van de bevolking dit jaar tot 5,7% in 2024. Onder kinderen stijgt het percentage dat in armoede leeft van 6,2% naar 7,0%. Dit blijkt uit de CPB-raming die vandaag is verschenen. Zie: https://t.co/YHvFnC7o0A pic.twitter.com/yijvQJQv7d— Centraal Planbureau (@CPBnl) August 17, 2023
Translation: Without new policy, poverty will rise from 4.8% of the population this year to 5.7% in 2024. Among children, the percentage living in poverty will increase from 6.2% to 7.0%. This is evident from the CPB estimate that was published today.
Although energy prices have slowly fallen, energy companies warn that they might spike right back up in the coming winter. Not only that, but government measures to curb shooting energy prices are expiring this year.
READ MORE | 14 dang smart ways to save on energy costs in the Netherlands [UPDATED 2023]
Without any government help, it’s not looking good…
Everyone next year is expected to have to cash out more as everything will cost more. Thankfully, this should be accompanied by a rise in wages.
The cabinet is stuck
Before the Dutch parliament’s summer break, they demanded that the cabinet comes up with new measures to prevent such a big increase.
READ MORE | Groceries or healthcare? 1 in 5 Dutchies avoids seeing a doctor due to high costs
But now that the cabinet has collapsed and is outgoing, it’s unclear how much is possible for them to achieve — oh jee.
The CPB will publish an update in a few weeks on what the government should do and how effective the new policies would be.
How have the last few years of energy prices and inflation affected you? Tell us in the comments below!
