The Dutch cabinet is looking at a temporary cut in road tax to help motorists deal with high fuel prices during the energy crisis. Government insiders confirmed this after a report by De Telegraaf. Ministers will decide later which measures they want to introduce.
Earlier, the cabinet listed several ways to support people facing rising global oil and gas prices. It mentioned increasing the tax‑free travel allowance and lowering excise duties on petrol and diesel. It did not include a cut to motor vehicle tax at that time.
Car owners in the Netherlands pay tax based on the vehicle’s weight and fuel type. Electric and hybrid cars pay a reduced rate. A 1‑percentage‑point cut would reduce government revenue by about 46 million euros. Nibud says a mid‑range petrol car costs around 88 euros per month in road tax.
Prime Minister Rob Jetten has said that lowering excise duty on petrol and diesel is not the minority cabinet’s preferred option. “It costs a lot of money but does not help households and businesses sufficiently,” he said during his weekly press conference. The cabinet wants compensation measures that mainly support people hit hardest by high prices.
The House of Representatives recently backed a proposal from opposition party GroenLinks‑PvdA to explore maximum fuel prices at the pump, following the Belgian model. Insiders say the plan is unlikely to move forward. Some ministers supported the idea, but they believe it would face too many practical obstacles.
@ANP | News Brainport
