State Secretary Palmen for Recovery and Benefits: “Reforming the entire tax and benefits system takes time. At the same time, there are people who are currently struggling with problems in the existing system. I want to help them as much as possible so that benefits serve their intended purpose: to support those in need where they need it.”

The Measures

The application deadlines for housing benefits, healthcare benefits, and the child-related budget will be extended to December 31 of the following year. This date is more intuitive for people than the old date of September 1 and gives them more time to confidently apply for benefits based on their income. Additionally, the definition of partner will be adjusted for individuals with a missing partner, a partner in detention, and recognized refugees with a partner not registered in the Netherlands. This allows them to receive benefits appropriate to their actual situation as a single person.

Furthermore, benefits will no longer be retroactively adjusted due to certain decisions from other agencies that were unforeseeable for individuals. Currently, interest is charged on the difference between the benefit advance and the final benefit. This interest on back payments and recoveries will be abolished to simplify calculations and prevent individuals from having to deal with an additional amount to pay on top of a recovery. Finally, the penalty for non-compliance will be abolished. Individuals can and are allowed to make mistakes without being penalized.

The proposed measures to improve the system in the short term have been developed based on signals from benefit recipients, implementing partners, and societal partners.