The election was called in February when the government led by Jan Peter Balkenende’s Christian Democratic party (CDA) collapsed. Back then the Dutch still grumbled about immigration and ranked crime and health care their top concerns. Many therefore expected the election to be a showdown between a revitalised Labour Party—now led by Job Cohen, a former mayor of Amsterdam committed to the model of a tolerant, immigrant-friendly Dutch society—and an anti-immigrant populist, Geert Wilders, whose far-right Freedom Party had shaken up Dutch politics over the previous year.
But everything changed in March. First Centraal Planbureau (CPB), an influential think tank, issued a report warning of the dangers of the growing national debt and urging spending cuts. Soon afterwards a specially commissioned study group said that the next government would need to make savings of €15 billion-18 billion ($18.4 billion-22.1 billion) in its first term.
The parties adjusted their message in response. On some specifics they agree: health-care costs must be brought down, and the retirement age lifted from 65 to 67. But beyond this there is a serious debate over how much reform the Netherlands needs. The liberal VVD party has gone furthest, pledging cuts that should bring the budget into surplus within two terms. Along with the CDA, it proposes widespread cuts to the Dutch social-security system, while lowering taxes for households and companies. Both parties emphasise the need to pursue growth and to create jobs. Labour, on the other hand, is calling for tax increases on the wealthy and relatively minor tweaks to the social-security system.
The Dutch election: Preparing to be squeezed | The Economist
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