Yesilgöz demands coalition reset over €1bn tax deal
The VVD says it was ambushed by coalition partners D66 and CDA, who struck a deal with two opposition parties to cut tax on labour and raise it on wealth in next year's tax plan.
VVD leader and deputy prime minister Dilan Yesilgöz said on Wednesday evening that a fundamental reset of the coalition is needed if D66 and CDA vote for an amendment they agreed with PRO and Volt. The VVD is not yet pulling the plug on the cabinet.
The amendment would change the cabinet's Belastingplan (tax plan) by lowering tax on labour and raising tax on wealth, a shift of €1bn. PRO and Volt first wanted €1.5bn; D66 and CDA can live with the watered-down version. The VVD is firmly against higher tax on wealth.
Yesilgöz said the deal breaks the coalition agreement and is bad for the Netherlands and for entrepreneurs. "No party in the Netherlands has ever been ambushed by its coalition partners like this," she said. She hopes D66 and CDA withdraw their signatures.
“From day one, the VVD has fought in this cabinet for entrepreneurs, for savers and for lower taxes. Today we were taken by surprise by a proposal that in our view puts the stability of the Netherlands, our economic growth and our business climate at risk. The plans on the table are not good for the Netherlands and also go against the coalition agreement. If the amendment is passed with the votes of D66 and CDA, they break open the coalition agreement. This is not how you work together and govern a country stably. This calls for a fundamental reset.”
D66 parliamentary leader Jan Paternotte called it a reasonable compromise within the coalition agreement. "There is no question of a cabinet crisis," he said. He and CDA leader Henri Bontenbal say they kept the VVD informed in recent days, but both acknowledged the VVD was not asked to agree to the final result.
Last week the coalition parties agreed that in the most extreme case they may vote differently, as long as they do not surprise each other or breach the coalition agreement. Paternotte repeated that on Wednesday. One route keeps the coalition intact: the VVD votes against the PRO and Volt amendment, then for the Belastingplan as a whole.
Without the VVD, D66, CDA, PRO and Volt need at least four of five other parties for a majority: DENK, 50PLUS, ChristenUnie, the Party for the Animals and the SP. DENK leader Stephen van Baarle said: "We still have to decide our position."
D66 and CDA said on Wednesday evening that they are sticking to the deal despite the VVD's warning. "We will not renegotiate," they said. The VVD says it was told of the deal only 15 minutes before the PRO press conference; D66 and CDA say they kept their coalition partner informed.
The Tweede Kamer (House of Representatives) resumes its debate on the Belastingplan on Thursday 12 November at 10:15, with the votes planned for that afternoon. Prime minister Rob Jetten, who is not going to the EU meeting in Dublin "because of the political situation at the moment", has said he will not respond to Yesilgöz's remarks on Wednesday evening.
What happens next
- Thursday morning: the Tweede Kamer debates the political situation
- After the debate: a vote on the Belastingplan
- Prime Minister Rob Jetten is skipping the EU meeting in Dublin because of the political situation
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