Despite these challenges, the strengths of the Dutch business climate remain intact according to entrepreneurs. Companies are positive about the quality of life, the high level of knowledge, the digital and physical infrastructure, and the proximity of key stakeholders. In these areas, the Netherlands has long been among the global leaders.
Minister Karremans (Economic Affairs): “Entrepreneurs benefit from predictable policies and an effective approach to obstacles such as high regulatory pressure, a full electricity grid, and staff shortages. I hear these concerns in conversations with entrepreneurs and board members of large companies and see them confirmed in this monitor. If doing business is not attractive or if companies invest elsewhere, it directly affects our earning capacity and thus our prosperity. That is why we must work very hard to improve our business climate.”
Increasing Concerns about the Business Climate
The Business Climate Monitor shows that companies are considering relocating their activities partly or entirely abroad. Although the share of companies considering this remains stable (around 20%), these plans are becoming more serious and the willingness to invest outside the Netherlands is increasing. Especially internationally active companies more often consider a (partial) relocation.
Government Approach: Reducing Regulatory Pressure and Strengthening Investment Climate
The government is taking concrete steps to strengthen the business climate. It is working on a government-wide approach to reduce regulatory pressure, aiming to eliminate or simplify 500 rules by summer 2026. Mr. Wennink is also writing an advisory report at the governments request on strengthening the investment climate and the future earning capacity of the Netherlands. Additionally, the Productivity Agenda and the renewed industrial policy focus on structural improvement of economic resilience.
The Business Climate Monitor was conducted on behalf of the Ministry of Economic Affairs and Climate Policy by SEO Economic Research and the Amsterdam Centre for Business Innovation.
