Economy set to dictate Dutch vote

THE ten million-strong Dutch electorate are expected to put the right-wing People’s Party for Freedom and Democracy (VVD) into government as their concern shifts from immigration to the economy.

Although the Netherlands is among the least affected by the economic crisis, their unemployment rate is rising to 5% this year, their deficit to 6% and debt to 70%. The citizens are worried about the long-term effects.

Despite the ruling Christian Democrat (CCD) party carrying out a fundamental budget review, cutting government spending by 20% and proposing to raise the retirement age by two years to 67, they are expected to lose seats.

But they could form part of a coalition government in a parliament expected to be made up of 10 parties from the 24 contesting the elections.

With such a big number of parties holding relatively few of the 150 seats it’s expected that a third group will be needed to form a majority government.

This party some believe will be Freedom Party (PVV) of anti-Islamist populist Geert Wilders.

The Labour Party and its well-liked leader former Amsterdam mayor Job Cohen has made a resurgence in the polls but despite late gains in popularity, they are expected to come second to the VVD.

Jan Peter Balkenende of the CCD has been prime minister for almost eight years presiding over four consecutive coalition governments, none of which survived a full term.

As well as proposing budget cuts of €20 billion over the next four years through higher taxes, increasing healthcare charges and raising the retirement age, the VVD also propose giving no social welfare payments to immigrants for their first 10 years in the country.