Yesterday evening the Brussels regional government reached agreement on the Brussels Region’s 2027 budget. “There will be cuts to public spending, and there will be no across-the-board tax increases for the people of Brussels,” Brussels PM Boris Dilliès (Francophone liberal MR) said after the breakthrough.
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Brussels government reaches agreement on 2027 budget
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The agreement follows a difficult two days of budget talks. Details of the agreement have emerged.
In a press release, PM Dilliès and Brussels Finance Minister Dirk De Smedt (Flemish liberal Anders) announced that in 2027 the deficit will be reduced by 719 million euros.
Where will the savings be made?
Within the government itself and by reducing the workforce
Vacancies will no longer be filled automatically.
Staff will be deployed in a more targeted manner through internal mobility.
The reform of government departments will continue, including the merging of services.
Changes to road tax
The government is committed to ensuring that the cost is not passed on to the people of Brussels. It states that it has made a firm commitment to economic growth through:
A doubling of the BeHome allowance, the financial relief measure in Brussels designed to compensate resident homeowners for increases in the property tax.
A reduction in supplementary personal income tax by 1 percentage point.
A reform of the annual road tax: from the second half of 2027, there will be an exemption for those driving a small city car or a zero-emission vehicle (ZEV).
One of the most difficult discussions centred on the transport operator MIVB. “We have finally decided not to implement the planned fare increase,” De Smedt told VRT NEWS.
“Revenue was lower than anticipated. We have compensated for this by cutting operating expenditure.”
Funding shelters and housing
Francophone socialist government ministers Ahmed Laaouej and Karine Lalieux say last weekend’s budget talks resulted in a “responsible budget” with targeted investments in healthcare, social action and housing.
In their press release issued last night they announced a number of measures:
More than 1 million euros will be allocated to ‘prevention’, including cancer screening and a heatwave plan.
The Region is allocating 1.8 million euros for the provision of shelter for homeless families through Samusocial, the humanitarian emergency service that provides immediate assistance, shelter, and medical and psychosocial support to people experiencing homelessness and social distress, and is earmarking 6.3 million euros for the prevention of addiction.
Funding for measures against early school leaving is being increased by 5 million euros, supplemented by 1 million per year from the French Community Commission (COCOF).
Brussels’ municipalities and local social services centres will receive around 15 million euros extra in 2027.
For housing, the agreement allocates 104 million euros for the construction of over 1,000 social housing units.
Rent subsidies will be maintained, and 131 million euros will be allocated for the recapitalisation of the Brussels Regional Housing Company (BGHM).
Laurent Hublet (Francophone centrist Les Engagés), Employment and the Economy Minister, noted that there will be no changes to the price of service vouchers or to child benefit as is happening in Flanders.