Dutch VAT Increase Sparks Widespread Protest from Cultural, Sports, and Media Sectors
Summary and overview of recent plans to increase VAT for various sectors in the Netherlands, and campaigns created in attempts to annul these plans.
A major campaign has been launched in the Netherlands to protest the planned increase in value-added tax (VAT) from 9% to 21% on a range of cultural, sports, and media services. This increase, set to take effect in 2026, is part of a broader financial strategy by the coalition government, which includes the PVV, VVD, NSC, and BBB parties, to generate at least 1.2 billion euros annually.
The sectors affected by the VAT hike include accommodations, books, concerts, museums, theatre performances, and sports activities. However, certain recreational activities like cinemas and campsites will retain the lower 9% VAT rate due to pre-existing agreements.
Campaign Against the VAT Increase
The campaign, branded #geenhogerebtw (no higher VAT), was organised by a coalition of associations from various sectors, including the Dutch Olympic Committee and sporting federation NOC*NSF, the football association KNVB, the hospitality sector lobbying group Koninklijke Horeca Nederland, and the arts organisation Kunsten '92. Representatives from the book publishing industry, Federatie Cultuur, and the news media association NDP Nieuwsmedia also joined the protest.
The campaign kicked off with a full-page advertisement in newspapers and a call to action for supporters to spread the message via social media and petitions. The book industry, in particular, has been vocal, with a petition to keep book prices affordable already gathering over 230,000 signatures.
Concerns Across Sectors
Cultural and Sports Sectors
The increase is expected to significantly impact the affordability and accessibility of cultural and sports activities. The Platform for Entrepreneurial Sports Providers (POS) warned that higher prices could discourage participation in fitness and sports activities, potentially leading to a decrease in public health and well-being. The POS director, Lodewijk Klootwijk, predicted that the VAT hike could lead to half a million Dutch people ceasing to exercise.
The Dutch Association of Theatrical Producers (VVTP) and the Event Organizers’ Association (VVEM) expressed concerns that higher ticket prices for concerts, festivals, and theatre productions would make these events less attractive to the public. They plan to engage with the government to discuss the potential negative impacts and seek ways to prevent the tax increase.
Media and Publishing Sectors
The proposed VAT hike has also drawn criticism from the media sector, with over 30 newspapers and news media calling it a "threat to diversity." Editors from major newspapers like Volkskrant, NRC, Trouw, AD, and Telegraaf argued that higher costs could lead to reduced subscriptions and limited access to investigative journalism, especially for low-income individuals. The rise would position the Netherlands among the European countries with the highest VAT on newspapers, comparable to Bulgaria.
Booksellers and publishers are similarly alarmed, fearing that the increase will lead to higher book prices and reduced sales, undermining efforts to promote literacy. Organisations like the Dutch book distribution group CPNB and the publishers' association GAU emphasised that the measure contradicts the government's stated priority of improving reading skills.
Cinemas Spared
In contrast, cinemas will not face the VAT increase due to an earlier agreement that maintains the lower rate in exchange for investments in Dutch film productions. This agreement, which includes contributions from the Ministry of Education, Culture and Science, the Netherlands Film Fund, and film distributors, ensures that cinema tickets remain affordable for the general public.
Verdict
The coalition's proposal to raise VAT has prompted a united reaction from a wide range of sectors, all advocating for the protection of accessible cultural, sports, and media services. As talks with the government progress, these organisations aim to emphasise the possible negative impacts of the tax increase and search for alternative solutions to help the country achieve its financial objectives without jeopardising public access to essential services.