Economy

Dutch consumer spending rose in March after earlier declines, driven by higher spending on durable goods and services. Cars, household goods, and healthcare saw growth, while food and hospitality spending fell. CBS warned that consumption conditions weakened again in April.

Mortgage applications fell sharply in April as rising interest rates made buyers more cautious. First‑time buyers and movers applied for fewer loans, while demand shifted towards higher‑priced homes. Analysts say the cooling market may help stabilise house prices after years of rapid increases.

Pension funds have benefitted from rising stock prices recently. While the Iran war was a setback to the financial markets, and therefrom to pension funds, the ceasefire has enabled pension funds to be in a strong position to fulfill their financial obligations.

The Netherlands has declined to join Canada’s new Defence, Security & Resilience Bank, opting instead to focus on a competing initiative alongside the UK and Finland. While the Canadian-led bank is designed to help less wealthy allies rearm, the Dutch Ministry of Finance is prioritising the Multilateral Defence Mechanism (MDM), which focuses on joint procurement for wealthier nations. By choosing this path, the Netherlands joins Germany and France in bypassing the Canadian project to support a European-centric model aimed at pooling resources and helping smaller supply-chain businesses scale up military production.

Since 1 March, the Tax and Customs Administration has processed a record-breaking 10.7 million tax returns, surpassing last year’s total of 10.5 million. This milestone has been attributed to a smoother digital process and an increase in pre-filled data, though over 53,000 taxpayers still sought free personal assistance to complete their filings. While more than 3 million people have requested extensions—primarily businesses represented by tax advisers—those who met the early April deadline can expect their official assessments to arrive by 1 July.

New car registrations in the Netherlands fell by nearly 5 per cent in April, totalling 25,704 units, as geopolitical tensions and economic uncertainty prompted the business sector to postpone purchases. This decline follows a volatile start to 2026, largely attributed to a surge in late-2025 sales where leasing companies rushed to beat less favourable tax rules for company cars.

ING predicts that house price growth will stall for the remainder of the year as an influx of former rental properties boosts market supply. Higher taxes and stricter regulations are prompting private landlords to sell up, particularly in major cities, while rising mortgage rates have made buyers more cautious. Although total growth for 2026 is still expected to reach 1.5 per cent due to gains made earlier in the year, the bank suggests the long-standing boom is finally levelling off.

The national recommended price for Euro95 has surpassed €2.60 per liter for the first time, as rising oil prices push fuel costs higher across the Netherlands. Diesel prices are also increasing after a brief decline earlier this month.