Tuesday 07 July 2020

Repaying mortgages more popular than buying goods: CBS

Photo: DutchNews.nl

Consumer spending has lagged behind economic growth in the Netherlands over the past 10 years because people opted to pay off debts and mortgages rather than buy more goods, national statistics agency CBS said on Monday.

The Dutch economy grew 9,3% between 2008 and 2018, but consumer spending only rose by 4.1%, the CBS said.

The recession and the increase in the number of home owners with negative equity, plus tougher new rules on mortgage repayments, have encouraged people to reduce their debts instead.

Figures show that the national mortgage debt fell by €20bn over the 10 years in question, even though more new mortgages were taken out, the CBS said.

Thank you for donating to DutchNews.nl

The DutchNews.nl team would like to thank all the generous readers who have made a donation in recent weeks. Your financial support has helped us to expand our coverage of the coronavirus crisis into the evenings and weekends and make sure you are kept up to date with the latest developments.

DutchNews.nl has been free for 14 years, but without the financial backing of our readers, we would not be able to provide you with fair and accurate news and features about all things Dutch. Your contributions make this possible.

If you have not yet made a donation, but would like to, you can do so via Ideal, credit card or Paypal.