Keeping expenses under control and pressing on with reforms

22 November 2017

In a report, the European Commission regards certain elements of the Belgian budget as questionable. “The budget report by the European Commission is yet another confirmation that we must urgently get expenses under control and stay resolutely on track towards reforms,” says the N-VA.

The Commission is concerned that the targets will not be achieved and refers specifically to excessively high Belgian government spending. The N-VA concurs: “Reducing expenses must be a priority in a country with government spending of over 50% of GDP The gross domestic product (GDP) is the total monetary value of all goods and services produced within a country, both by companies and the government. This term is usually used as a benchmark for a country’s prosperity. This is why the N-VA closely follows the evolution of the Belgian GDP. GDP .”

No new taxes

The fact that the Commission has doubts as to whether we will effectively succeed in achieving the envisioned reduction must be a wake-up call for everyone in the government and an appeal to actually carry out the agreed savings. Income is on target, as was indeed confirmed by the Court of Audit yesterday, as a result of which new taxes are in no way the solution.

Sustainable reforms

The ambitious goal of balancing the budget during the present term of office will just not quite be achieved. Nevertheless, the government can be proud of its long-term strategy. “Today, we are still confronted by the consequences of a policy from the past in which a balanced budget was unjustifiably flaunted, shored up by the sale and leaseback of government buildings and the takeover of pension funds. Quick and easy - but ultimately very expensive - fixes that gave a bit of short-term income but which we are still paying a high price for today,” the N-VA emphasises.

This government advocates sustainable reforms. For example, the pension reform alone represents a reduction by half in the costs of the ageing of the population. We will continue to reap the benefits of this reform for many years to come, in the form of lower expenditure and therefore lower taxes for our young generations.

How valuable did you find this article?

Enter your personal score here
The average score is