Belgian PM De Wever to offer resignation after budget talks collapse

In brief

• Belgian Prime Minister Bart De Wever plans to resign after overnight talks on the 2027 budget with his coalition failed.
• The coalition is split over health spending cuts and higher wealth taxes, with a savings target of about 10 billion euros.
• King Philippe has not yet decided whether to accept the resignation, and a further audience is set for Friday.

Resignation planned after failed talks

Belgian Prime Minister Bart De Wever said on Monday he would hand his resignation to King Philippe (Polityczny kryzys w Belgii. Rząd nie porozumiał się w sprawie budżetu – Bankier.pl). Local media had reported earlier that a resignation was likely (Rozpočtová kríza v Belgicku: nezmieriteľné požiadavky strán smerujú k možnej demisii premiéra – Aktuality.sk). The move follows overnight negotiations with his coalition that ended without a deal on the budget (ЗМІ: прем’єр Бельгії подасть у відставку через провал із прийняттям бюджету – Європейська правда).

Dispute over spending and taxes

The coalition has been unable to agree on the 2027 budget (Haushaltsstreit - Belgiens Premierminister De Wever bietet König Philippe seinen Rücktritt an – Deutschlandfunk). De Wever's Flemish nationalist N-VA and the liberal MR want cuts to health spending. The socialist and centrist coalition partners want higher wealth taxes instead. The austerity plan is worth about 10 billion euros, and the government needs to find those savings to stay within EU spending limits.

Deficit and debt figures

• Budget deficit last year: 5%, against an EU limit of 3%
• Public debt: above 735 billion euros, more than 110% of GDP, against an EU benchmark of 60%
• Savings target: about 10 billion euros

Local media, citing Euronews, attributed the rise in yields on Belgian government bonds to the deadlock, meaning the country pays more to service its debt.

What happens next

The royal palace said the king has not made a decision. A further audience has been scheduled for Friday. De Wever was due to meet the king on Monday morning. If the king accepts the resignation, a new government would have to be formed, and early elections are one possible outcome. He can also reject it or hold it open.