Coalition close to agreement on new support package

The Cabinet comes up with a new support package for companies that got into trouble because of the corona crisis. According to sources in The Hague, the support measures will be weakened compared to the previous packages. The current (second) support package expires on 1 October and for the period after that there will be a third, with a longer duration.

The coalition has been talking about it for weeks and today financial support is again the subject of discussion. First in the Cabinet, then also with the government party specialists and with employers and employees.

It is said that the coalition is close to an agreement, but several things have changed during the negotiations compared to earlier plans. It is possible that the new support package will be announced on Friday.

NOW control

According to the AD, in the new package the Cabinet wants to help only the worst affected sectors, such as the events sector, the hospitality sector and the cultural sector.

At the moment the government pays 90 percent of the salaries under the Temporary Emergency Measure Bridging Employment (NOW) at companies that suffer at least 20 percent loss of turnover. From 1 October, only companies with 30 percent loss of turnover will be eligible for the NOW, says the newspaper.

The first emergency package came into force in March and ran until 1 June. In the second package, which runs until October, the conditions were also tightened.

cabinet “will do what is necessary in the next phase for citizens and businesses”. According to him, they are working on it day and night. He added that the plans will be announced soon, but he does not yet know whether this week is already possible or whether the cabinet needs more time.