Ministers look to help benefit claimants

The Dutch cabinet is studying measures to prevent a drop in the spending power of people with a minimum income, sources told news agency ANP on Wednesday.

The government’s economic policy adviser (CPB) has calculated that next year, singles and elderly people will see a decline of 1% in their spending power, largely due to inflation.
Last week the cabinet decided to shelve plans to increase the VAT from 19% to 20% so as not to further exacerbate the situation and to go ahead with cuts in unemployment benefit contributions.
However, the sources say ministers are also looking at ways to help people who do not pay unemployment premiums, such as those receiving social security benefits.

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