Budget 2026: No Tax Increases for Amsterdammers

Next year there will be municipal elections, and Amsterdam will get a new administration. The council wants to ensure a good handover of the city and finances. Therefore, the council allocates significant amounts in the budget for 2026 for issues that will also be needed in the coming years, such as youth care, tackling poverty and homelessness, shelter, and a good connection over the IJ. There will be no tax increases for Amsterdammers. This and more is included in the Budget 2026.

Hester van Buren (Finance): “In making this budget, the council looked to the future. Budgets such as for youth care or poverty that will also be needed after 2026 will be allowed to continue as much as possible. It is important that a new council has a good financial start. The municipal finances remain healthy, despite significantly less money from The Hague. The development of our debt and interest charges remains responsible. We have established a solid budget during this difficult time, which will benefit the city and the Amsterdammers in the coming years. With these investments, we can continue to build a supportive, sustainable city with responsible growth in the coming years.”

Necessary Budgets Will Be Continued

Even Amsterdammers with a tight budget must be able to participate in Amsterdam. Therefore, the council reserves 23 million euros to maintain Amsterdams poverty facilities and debt assistance at the required level. Although a recent agreement with the national government regarding a one-time youth care compensation has been reached, municipalities like Amsterdam currently seem to receive no additional money from The Hague for youth care on a structural basis. In the spring memorandum, 10 million euros was already allocated for youth care, including strengthening the Parent and Child Teams. These measures can be extended through this budget until 2027.

The approach to homelessness will continue in the coming years with a one-time amount of 8 million euros and a fixed annual amount of 4 million euros. Since the national government has stopped funding the National Asylum Facilities (LVV), Amsterdam allocates 20 million euros to continue the shelter for undocumented individuals. The council has set aside an additional 55 million euros for investments in the East Bridge over the IJ, to accommodate price increases due to inflation. Earlier this year, 13.5 million euros was allocated in the spring memorandum for an insulation offensive.

No Tax Increases and Setbacks from the National Government

Amsterdam will receive significantly less money from the national government in the coming years. This amounts to a structural 47 million euros less than was anticipated in the spring memorandum. The council will not raise local taxes, such as property tax or waste tax, next year. There will also be no indexing of the waste tax.

Current Developments

In addition to continuing the aforementioned programs, the council proposes a number of one-time expenditures. An amount of 6 million euros has been allocated for measures against sexual violence. The council will also continue to invest in cultural facilities, such as the renovation of the Amsterdam Museum. Finally, the announced savings on preschool will be postponed by a year.

Simple Municipal Organization

The budget includes an annual saving of 15 million euros on the administrative organization. Last summer, the council commissioned a reform of the municipal organization. The goal of this reform is to create a municipality that works more simply and effectively and is more focused on execution. The new organization should also be smaller and less costly.