Van Bossuyt ends subsidy for new Local Reception Initiatives (LOI)

Federal Minister for Asylum and Migration Anneleen Van Bossuyt is discontinuing the subsidy for new Local Reception Initiatives (LOI), better known as the Impuls Fund, which was introduced in 2022. While the federal government will not abruptly dismantle existing LOIs, their phase-out will be gradual and aligned with asylum inflow and outflow figures. “We are taking responsibility and will only scale back when conditions allow,” Van Bossuyt emphasized.

No new applications approved

The subsidy was initially introduced to provide municipalities with financial incentives to set up local reception initiatives. Now that the federal government aims to halt LOI expansion and gradually reduce them when inflow numbers permit, no new applications will be approved. Pending applications will also be denied.

Transitioning to a more effective model

This decision is part of a broader asylum policy reform, shifting the federal focus toward collective reception centers and stricter management of asylum accommodation. “LOIs are at the top of our list for reduction because they involve housing units or apartments, which creates a pull factor,” Van Bossuyt explained. “Additionally, return procedures from LOIs are far more difficult. That’s why we are transitioning to a more sober and manageable system: strictly collective reception.”

Municipalities currently hosting LOI accommodations will remain operational for now and continue to receive support from Fedasil. The federal government remains in close consultation with local authorities to ensure a smooth transition toward a collective reception system.