2023-10-15 17:49:00
After more than a week of conclave in several episodes, the Brussels government agreed on Sunday, at the end of the day, on a draft budget for 2024, we learned from several government sources. Brussels Minister of the Environment Alain Maron (Ecolo) confirmed this on his X account.
“Faced with a complicated budgetary situation following the crises, we are adopting a responsible budget. The Brussels Capital Region and COCOM are giving themselves the means to pursue their environmental and social policies,” underlined Rudi Vervoort (PS), Brussels Minister-President on X.
And for good reason, Brussels’ finances are in a worrying state, with a debt that has soared more than expected under this legislature.
The Brussels Minister of the Budget, Sven Gatz (Open VLD) had proposed a debt ceiling to guarantee the consolidation of public finances.
The return to balanced budget by 2024 (excluding strategic investments), as envisaged in the multi-year trajectory, is therefore well and truly underway, assures Sven Gatz.
Most of the savings are made in personnel costs via a moratorium on commitments in the Brussels administration, with an exception for operational staff at Stib, Siamu, Bruxelles Propreté and other critical functions. Administrative operating costs will also be reduced and there will be postponements of investments in several sectors, particularly in social housing. There will also be a reduction in the subsidies awarded, via optional subsidies.
Each ministry and administration will have to make an effort of 3% in personnel budgets, 5% in operating budgets and 8% in the optional subsidies envelope.
The detailed amount of savings has not yet been communicated by the Brussels government.
It also appears that investments in the provision of public transport are being spared, although this was the main fear of environmentalists. “The commissioning of the new tram line to NOH is confirmed for autumn 2024, as well as the submission of the permit for the line to Tour et Taxis. Work on metro 3 between Albert and Nord will continue,” underlined Alain Maron this Sunday, also rejoicing at having obtained the “increase in resources available for Rénolution bonuses”.
Work on metro 3 between Albert and Nord will also continue, with particular attention to the support measures resulting from the dismantling of the Palais du Midi.
The efforts included in the final deal are in fact significantly lower than in the first proposal formulated by Sven Gatz, via a note sent to the government last Wednesday and in which he recommended a total effort of 600 million euros.
The figure arrived at by the Brussels ministers is very far from it. The total effort amounts to some 200 million euros, according to the DH. This is far from enough to return to a balanced budget in 2024, as predicted by the Minister of the Budget…
This agreement lays the foundations for a new structural balance during the next legislature, however assures the office of the Minister of the Budget which specifies that “the 2024 budget will be closed with a better result” and that “the budget deficit will be reduced by ‘A quarter.”
The bulk of the effort to return to budget balance will therefore be carried out by the next government. We have seen a more engaging picture for the future majority…
The political agreement will now be administratively translated and sent to parliament, where budgetary debates in the finance committee will begin in November.
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