Inflation causing the majority to budget even more carefully than in June
By Rachel Deloughry
According to a recent study into the effects of inflation, which was carried out by I&O Research and commissioned by NOS, the majority of people living in the Netherlands are budgeting more carefully in July 2022 compared to June. More specifically, 55 percent of people in the Netherlands are keeping a closer eye on what they spend, compared to 43 percent in the previous month.
The pinch is not only affecting those on low incomes
Due to a sharp rise in prices, around 19 percent of people living in the Netherlands are finding it difficult to make ends meet, while 5 percent of people are either experiencing serious financial problems or very close to serious financial problems.
The pinch is being felt strongly not only by those on low salaries, as observed by researcher Melle Conradie of I&O Research: "What becomes very clear, is that not only are the minimum incomes affected by inflation but that some of the lower middle incomes are also in danger of getting into trouble."
Many in favour for more benefits and higher taxes for the rich
In response to the difficulties caused by inflation, 45 percent of people working in the Netherlands said they would like to see more benefits for middle incomes and not just for people who earn low incomes. The majority of Dutch people are in favour of additional benefits for low-to-middle income groups or even for every citizen. The proportion of people who think that these benefits are not necessary is now at 5 percent, which is a decrease since June.
Additionally, it was noted that respondents who vote for the VVD or D66 parties tend to have an unchanged financial situation, while people who vote for SP and PVV are most often the ones needing to watch their spending in the face of inflation.
In terms of solutions to the problem, two-thirds of respondents said they would be in favour of higher corporate taxation and 49 percent of people are in favour of higher income tax for those with higher incomes. Austerity measures and raising the national debt proved to be the least popular solutions to inflation in the Netherlands.
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Lifestyle editor at IamExpat for the Netherlands, Germany and Switzerland. Rachel has her finger on the pulse of what's happening in the realm of festivals, exhibitions, concerts and markets. She received her Master of Music from Utrecht Conservatory and before that, earned a Bachelor of Music in Ireland. She is passionate about music, painting and design.Read more