Economy – DutchReview https://dutchreview.com News, stories, culture and reviews from the Netherlands Thu, 07 Mar 2024 09:02:55 +0000 en-GB hourly 1 https://wordpress.org/?v=6.4.3 https://dutchreview.com/wp-content/uploads/cropped-DR-Logomark-FullColour-1-32x32.png Economy – DutchReview https://dutchreview.com 32 32 Here’s why ASML is hinting at leaving the Netherlands https://dutchreview.com/news/why-does-asml-hint-at-leaving-netherlands/ https://dutchreview.com/news/why-does-asml-hint-at-leaving-netherlands/#comments Thu, 07 Mar 2024 09:02:49 +0000 https://dutchreview.com/?p=156100 The Netherlands is known for many things: windmills, canals, and oh yeah, ASML. Now, the world-renowned company has hinted at moving its operations elsewhere โ€” but why? Let’s just say, […]]]>

The Netherlands is known for many things: windmills, canals, and oh yeah, ASML. Now, the world-renowned company has hinted at moving its operations elsewhere โ€” but why?

Let’s just say, it’s not as simple as the company wanting to “find itself.”

Who are ASML? ASML designs and manufactures lithography machines that help make computer chips โ€” so you could be using the product of an ASML machine to read this article!

The main reason: ASML needs more staff

You’d think that with such a huge population in such a small surface area, the tech giant would have no problem finding sufficient staff for its operations, but it’s not that simple.

The company requires highly skilled technical employees to keep its wheels turning, and they can’t all be sourced among the Dutch.

READ MORE | 13 companies in the Netherlands that hire internationals in 2024

In fact, according to ASML CEO Peter Wennink, 60% of its employees come from abroad. However, it’s becoming increasingly difficult for ASML to find such international employees.

Why? According to the NOS, one reason is due to a change in the way international workers are taxed in the Netherlands.

The 30% ruling is on the way out

One huge benefit of working as a skilled international in the Netherlands used to be the 30% ruling.

As part of this ruling, highly skilled highly skilled and eligible expats could receive 30% of their income tax-free for five years.

READ MORE | 7 innovative Dutch projects for a sustainable future

However, as of 2024, this has changed. Instead, the amount has been reduced to 30% for the first 20 months, 20% for the following 20 months, and then 10% for the final 20 months.

In turn this means that fewer highly skilled internationals are encouraged to work in the Netherlands for companies like ASML.

However, it’s not just high taxes that are leading to problems for ASML.

Remember the housing crisis?

The struggle to find housing in the Netherlands is very real in 2024, and ASML employees are not immune to it.

READ MORE | Why is there a housing shortage in the Netherlands? The Dutch housing crisis explained

In fact, employees have been struggling so much to find housing that ASML has resorted to buying up housing and getting involved in housing construction projects to try and ease the crisis faced by its employees.

The result? ASML aren’t impressed

While ASML hasn’t outright announced that it will be leaving the Netherlands. It has been dropping some worrying hints.

In January, Winnink made a worrying remark:

“You see all kinds of movements that make it more difficult for internationally operating companies that need international talent, for example, to do business in the Netherlands.”

As a result, sources in The Hague tell RTL Nieuws that the outgoing cabinet has sprung into action.

A plan to prevent the company’s departure is being drawn up under the code name Beethoven. ๐Ÿ‘€

This doesn’t mean a complete departure

However, these hints don’t mean that there will be a complete departure of ASML from the Netherlands.

Jos Versteeg, analyst at InsingerGilissen tells RTL Nieuws that the company upping shop and leaving is “very unlikely.”

That being said, Jim Tehupuring, investment expert at 1 Vermogensbeheer, tells RTL Nieuws that he does see at least part of the company shifting to another country.

He just doesn’t know “whether that is 30% or 70%.”

Regardless of what the company decides to do, there is one thing we can be sure of: any move will take time. Years in fact, according to Tehupuring.

What do you think of ASML’s hints? Tell us your thoughts in the comments below!

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The salary you need to buy an average Dutch home in 2024 is RIDICULOUS https://dutchreview.com/news/required-income-to-buy-house-in-the-netherlands-2024/ https://dutchreview.com/news/required-income-to-buy-house-in-the-netherlands-2024/#comments Tue, 05 Mar 2024 08:57:19 +0000 https://dutchreview.com/?p=154317 If you have ever had to deal with the Dutch housing market, whether as a renter or a buyer, you’ll know that the situation is, well… bleak. How bleak, you […]]]>

If you have ever had to deal with the Dutch housing market, whether as a renter or a buyer, you’ll know that the situation is, well… bleak.

How bleak, you ask? Calcasa, a company that specialises in the analysis of the Dutch real estate market, has crunched the numbers to find out how much income is required to buy an “average” house in the Netherlands.

And the results are… discouraging. ๐Ÿ˜ฌ

More than two average salaries needed

To get to its final number, Calcasa based its study on a dual-income household with no student debt, no deposit of their own money, and a house with energy labels E, F, or G.

They also took into account the current average mortgage interest rate of 3.75% without NHG (National Mortgage Guarantee) and 3.25% with NHG.

READ MORE | Why is there a housing shortage in the Netherlands? The Dutch housing crisis explained

Considering that the average price for a home in the Netherlands is โ‚ฌ452,000, the household type above would need to earn an average of a whopping โ‚ฌ95,000 gross per year to be able to afford one of them.

If you want to purchase in Amsterdam, that number climbs to โ‚ฌ120,000.

READ MORE | Salaries in the Netherlands: the ultimate guide to Dutch wages

Here’s where it gets good (…not): According to the Dutch Central Planning Bureau, the expected average Dutch annual salary in 2024 will stand at โ‚ฌ42,236. 

So, yes, even two average salaries would not be sufficient to buy an average home in the Netherlands. ๐Ÿ˜“

Income requirements vary by municipality

As with everything, there are big differences between the municipalities when it comes to housing prices.

Taking the crown for the least affordable municipality in the Netherlands is not Amsterdam (shocker), but instead the municipalities of Bloemendaal, Laren and Blaricum.

READ MORE | Buying a house in the Netherlands: extra costs you need to know

Never heard of those places? You’re not alone. Yet still, the average value of a house in these municipalities is above โ‚ฌ1 million, and you’d need to make more than โ‚ฌ200,000 a year to afford one of them. ๐Ÿ˜ณ

Curious how much money you need to earn to go from renter to owner in your municipality? Check out the numbers for the 20 biggest Dutch municipalities. ๐Ÿ‘‡

Would you ever consider buying a house in the Netherlands? Share your thoughts in the comments!

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Travelling to Amsterdam this year? Here’s why it’ll cost you more https://dutchreview.com/news/amsterdam-highest-tourist-tax-europe/ https://dutchreview.com/news/amsterdam-highest-tourist-tax-europe/#respond Thu, 29 Feb 2024 08:32:58 +0000 https://dutchreview.com/?p=153228 If you’re planning a trip to the Dutch capital this year, you should prepare for some unforeseen costs. No, we’re not talking about the โ‚ฌ13 stroopwafels; we mean the skyrocketing […]]]>

If you’re planning a trip to the Dutch capital this year, you should prepare for some unforeseen costs. No, we’re not talking about the โ‚ฌ13 stroopwafels; we mean the skyrocketing tourist tax.

Yup, tourists who spend the night in one of Amsterdam’s many hotels or hostels can expect to pay a whopping 12.5% in tourist tax this year.

In practice, this means that the average tourist will be paying an extra โ‚ฌ16.76 per night per person, according to Bungalowoverzicht.nl. ๐Ÿ˜ณ

Why are they doing this?

To curb overtourism.

It’s no secret that Amsterdam struggles with the enormous amounts of tourists it has to welcome each year.

In an effort to reduce this influx, the city has previously banned large cruise ships, restricted weed, and flat-out told young Brits to โ€œstay awayโ€.

READ MORE | โ€˜We never stop drinkingโ€™: British men react to Amsterdamโ€™s Stay Away campaign

The increased tourist tax is just another measure meant to scare off international visitors. Whether it will have the desired effect remains to be seen. ๐Ÿ‘€

The highest in all of Europe

Even before this increase, Amsterdam’s tourist tax was not just the highest in the Netherlands, but in all of Europe. Ouch.

Wondering why the city needs all this money? According to the municipality of Amsterdam, it will be invested in the neighbourhoods and boroughs that need it the most to maintain the city’s fabulous quality of life.ย 

What do you think about Amsterdamโ€™s newest measure to curb over-tourism? Tell us your thoughts in the comments.

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No more next-day delivery? Here’s why your Dutch mail could soon arrive later than usual https://dutchreview.com/news/longer-mail-delivery-times-postnl/ https://dutchreview.com/news/longer-mail-delivery-times-postnl/#respond Mon, 26 Feb 2024 09:49:11 +0000 https://dutchreview.com/?p=152297 If you’ve gotten used to next-day delivery on your mail and packages, we might have some bad news for you. PostNL, the mail and e-commerce giant based in the Netherlands, […]]]>

If you’ve gotten used to next-day delivery on your mail and packages, we might have some bad news for you.

PostNL, the mail and e-commerce giant based in the Netherlands, wants to start delivering mail less often. Why? Because they have a shortage of workers and fewer people are sending mail, reports the AD.

Herna Verhagen, CEO of PostNL, urges a change in postal laws so that mail can be delivered within two or three days of being sent rather than the usual one-day delivery rule, with the exception of urgent mail.

A steady decline

The amount of mail sent has been on the decline for the last 20 years, yet mail is still legally only allowed to take one day to be delivered. A general labour shortage has also made it difficult to fill vacancies and keep up operations.

As a result, letters are more frequently being delivered too late โ€” and about one in five items arrived after the expected delivery time in 2023.

@dutchreview Just us? #dutchreview #netherlands #holland #postnl #kevinjames #fyp #foryou #dutchmail โ™ฌ original sound – DutchReview

So, Verhagen is calling on Dutch politicians to find a solution for these developments.

And it seems like there’s precedent to change the legally expected delivery time. Many European countries have less frequent post deliveries, and 79% of PostNL customers say they’re okay with receiving mail after only two or three days.

How often do you use PostNL? Tell us about your experience in the comments below!

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This budget airline might have to scrap hundreds of flights this summer (also from the Netherlands) https://dutchreview.com/news/ryanair-flight-cancellations/ https://dutchreview.com/news/ryanair-flight-cancellations/#respond Mon, 26 Feb 2024 08:09:36 +0000 https://dutchreview.com/?p=152282 Ah, Ryanair, the budget airline we all know and love (or do we?). Well, this summer, you might not be able to get to your dream destination with the Irish […]]]>

Ah, Ryanair, the budget airline we all know and love (or do we?). Well, this summer, you might not be able to get to your dream destination with the Irish airline, CEO of the company, Michael O’Leary, has warned.

Why not? Ryanair will likely have to cancel lots of flights this summer because the airline will receive fewer Boeing aircraft than promised. ๐Ÿšซโœˆ

According to the NOS, the American aircraft manufacturer was meant to provide 57 new planes to Ryanair by the end of June, but due to manufacturing issues, it looks like they can’t keep this promise.

“We don’t really know how many aircraft we’ll get,” O’Leary said during a press conference, but “we’re pretty sure we will receive between 30 and 40. … We have little confidence that we will be delivered more than 45.”

Oh, and more expensive tickets

If Ryanair doesn’t get enough planes by the start of the summer season, they can only carry 200 million passengers over the coming fiscal year, compared to the previously predicted 205 million.

The result? They “might need to announce some schedule cuts, mostly on routes with high daily frequencies,” O’Leary said.

And natuurlijk (of course), this will affect travellers in more ways than one, as ticket prices could shoot up by up to 10%.

As O’Leary puts it: there will be a “higher fare environment across Europe” this summer โ€” which would also affect the two biggest Dutch airports, Eindhoven and Schiphol, from which Ryanair operates.

@ryanair respect it ๐Ÿ˜Ž #ryanair โ™ฌ original sound – Ryanair

Do you usually fly with Ryanair? Share your experience in the comments!

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Forget camping in France: these destinations are increasingly popular when travelling from the NL this summer https://dutchreview.com/news/popular-holiday-destinations-from-netherlands-2024/ https://dutchreview.com/news/popular-holiday-destinations-from-netherlands-2024/#respond Fri, 23 Feb 2024 09:51:26 +0000 https://dutchreview.com/?p=151422 The insurance company ANWB just surveyed nearly 2,000 Dutchies with a singular goal in mind: figure out their holiday plans. The result? A whopping nine out of ten Dutch people will […]]]>

The insurance company ANWB just surveyed nearly 2,000 Dutchies with a singular goal in mind: figure out their holiday plans.

The result? A whopping nine out of ten Dutch people will still be going on holiday this year, according to ANWB spokesperson Sanne Over.

In conversation with RTL Nieuws, Over reveals that while many Dutch people will still enjoy a vacay in classic destinations โ€” think Germany, Spain, and France โ€” more and more are opting for more affordable alternatives.

“People are choosing alternatives more often than last year because of the expensive airline tickets,” she explains.

But where exactly will they be going? ๐Ÿ

Say hoi to Slovenia and Albania

Thanks to recent changes in the holiday market โ€” such as more expensive flight tickets โ€” there’s a heightened interest in cheaper European destinations, such as Slovenia and Albania.

“They go to Slovenia or Albania, for example, because the destination itself is cheaper than Italy or Spain, for example. The Dutch love holidays, but are price-conscious,” Over tells RTL Nieuws.

picture-of-white-sand-beach-in-ksamil-albania-where-dutch-people-go-on-holiday
Destinations like Albania are hot favourites with the Dutch, according to ANWB. Image: Freepik

While we like to poke fun at the Dutch for their stingy nature, this really doesn’t seem like such a bad idea.

For example, the average cost for a hotel room in Albania sits between just โ‚ฌ25-40 per night!

In Slovenia, B&Bs hover around โ‚ฌ55, holiday inns and rooms can be found for around โ‚ฌ40, whilst hotel prices can run around โ‚ฌ80 to โ‚ฌ130 per night.

*Furiously Googles flights to Albania*

What are your travel plans for 2024? Tell us all about them in the comments below!

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Living in the Netherlands? Your buying power is about to increase: here’s why https://dutchreview.com/news/purchasing-power-netherlands-2024/ https://dutchreview.com/news/purchasing-power-netherlands-2024/#respond Fri, 23 Feb 2024 08:23:43 +0000 https://dutchreview.com/?p=151418 Now that’s a shocking headline โ€” but you can shut that jaw and drop those eyebrows because it’s a fact. If you’re living in the Netherlands, you’re going to see […]]]>

Now that’s a shocking headline โ€” but you can shut that jaw and drop those eyebrows because it’s a fact. If you’re living in the Netherlands, you’re going to see your purchasing power increase in 2024.

Yep, while residents of the Netherlands have seen their purchasing power drop over the past few years, the tides are changing.

According to the Dutch Central Planning Bureau (CPB), our purchasing power is set to increase by 2.7% in 2024.

Here’s why. ๐Ÿ‘‡

Wages are going up, inflation is going down

Firstly, Dutch wages are receiving a much-needed boost this year, with the minimum wage increasing.

However, it’s not just people who receive minimum wage who will see a boost in their income. Many workers in the Netherlands are expected to see some better figures on their paychecks.

READ MORE | Salaries in the Netherlands: the ultimate guide to Dutch wages

Not only that, but certain benefits are higher in 2024. (Huurtoeslag, we’re looking at you. ๐Ÿ‘€)

You can also expect to enjoy more bang for your buck, because inflation is continuing to drop this year. The CPB forecasts that it will sit pretty at around 2.9%.

So what do all these changes mean? Well, what they boil down to is that your purchasing power just had a gentle โ€” but noticeable โ€” nudge in the right direction.

We’re still not back to pre-coronavirus power

Not to rain on your parade, but it is worth noting that while this increase is great, we still haven’t returned to a pre-pandemic level of purchasing power.

READ MORE | The cost of living in the Netherlands in 2024

However, we’re not far off! This year, our wallets will only be 0.5% less effective than they were before our world was rocked by rona โ€” and y’know what? We’ll take it.

Want the latest Dutch news to come zooming through the internet to your inbox? Dat kan! Subscribe to DutchReview’s weekly roundup ๐Ÿ“ฎ

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This Rotterdam landlord is charging over โ‚ฌ1000 in rent for a 9m2 room https://dutchreview.com/news/rotterdam-landlord-over-charges-rent/ https://dutchreview.com/news/rotterdam-landlord-over-charges-rent/#respond Thu, 22 Feb 2024 09:10:49 +0000 https://dutchreview.com/?p=151101 Anyone looking for a room or flat to rent in the Netherlands knows that finding one in your budget is as difficult as a trek to Mordor. One recent room […]]]>

Anyone looking for a room or flat to rent in the Netherlands knows that finding one in your budget is as difficult as a trek to Mordor. One recent room listing, however, just about takes the cake for sheer audacity.

Rotterdam resident Vanessa Bruin took to X (formerly known as Twitter) to share screenshots of a rental listing that had caught her eye.

And, at โ‚ฌ1050 a month for a 9m2 room, the screenshots raised as much ire as they did brows.

Say goodbye to long showers!

The room was advertised on HousingAnywhere โ€” an international website for mid to long-term rentals โ€” that’s popular with international students and expats in the Netherlands.

Whilst the audacious price may have garnered the most criticism, it was the line ‘you are only allowed to shower for FIVE minutes a day’ that truly pushed things over the top.

Translation of the first tweet: Room to rent, 9m2, the rest of the facilities must be shared with two other tenants. Price 1,050 euros per month. And oh yes… you are only allowed to shower for 5 minutes a day. Is this extortion? Dishonest*?

Translation of the text in the second tweet:
You will rent a:

  • Beautiful neat room with bed, desk, and open cabinet.
  • Your room has direct access to a balcony.
  • You can make use of the beautiful adjacent bathroom with a shower and washbasin. Shower for a maximum of 5 minutes per day, more use will incur additional costs charged.
  • You can use the kitchen.

What are your thoughts on this divisive rental listing? Tell us all your thoughts in the comments below!

*Our editorial team actually had a big discussion on the best way to translate this word. Other options appear to include ‘fraudulent’, ‘malicious’, and ‘malpractice’.

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Buying a house in the Netherlands has never been so expensive https://dutchreview.com/news/housing-prices-increasing-netherlands/ https://dutchreview.com/news/housing-prices-increasing-netherlands/#respond Thu, 22 Feb 2024 08:29:01 +0000 https://dutchreview.com/?p=151098 It seems like we’re not far off from breaking another housing price record โ€” and not in a good way. ๐Ÿ˜ฌ For the second month in a row, housing prices […]]]>

It seems like we’re not far off from breaking another housing price record โ€” and not in a good way. ๐Ÿ˜ฌ

For the second month in a row, housing prices have been on the rise in the Netherlands, with existing houses now costing 1.8% more than last January.

If housing prices continue to rise like this, the Netherlands will reach a new peak by March or April, writes NU.nl.

Prices on the rise

According to CBS, housing prices peaked in the summer of 2022 when people were buying homes for an average of โ‚ฌ445,000.

Prices started decreasing until June 2023, but began to climb once again on a monthly basis.

Now, houses are selling for an average of โ‚ฌ433,000. Say what? ๐Ÿ˜ญ

More homes sold

What’s truly interesting, however, is that there are actually more home sales taking places this year as compared to the last few years.

In January, 14,452 homes changed ownership in the Netherlands, about 10% more than the number of homes sold in January 2023.

There are a few possible explanations for this: the energy crisis and high inflation rate last year likely held buyers back from purchasing homes.

Purchasing power has also increased, and it’s also easier to qualify for the National Mortgage Guarantee that protects homebuyers from debt in case of a forced home sale.

Want the latest Dutch news to come zooming through the internet to your inbox? Dat kan! Subscribe to DutchReview’s weekly roundup ๐Ÿ“ฎ

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Students wait up to FIVE years to get a room in these Dutch student cities https://dutchreview.com/news/students-housing-netherlands-waiting-times/ https://dutchreview.com/news/students-housing-netherlands-waiting-times/#respond Mon, 19 Feb 2024 08:52:55 +0000 https://dutchreview.com/?p=150367 The housing crisis in the Netherlands is bad for everyone. But with the influx of foreign students, a shortage of adequate student housing, skyrocketing rent, and having no income, university […]]]>

The housing crisis in the Netherlands is bad for everyone. But with the influx of foreign students, a shortage of adequate student housing, skyrocketing rent, and having no income, university students struggle more than most.

A solution to the problem is student housing portals like ROOM.nl, where students are allocated a room or studio (from a corporation like DUWO) in their university city based on their registration time.

This means that the longer a student has been registered with the site, the higher their position in the ranking and the greater their chance of getting a room. 

Sounds good, right? Right, except waiting times are getting out of hand.

Longer than a bachelor’s degree

As NU.nl reports, the average time students have to be registered with student housing providers to obtain accommodation is 3.5 years.

A Dutch bachelor’s degree program lasts three years โ€” so yes, students are often finished with their studies before they’re even eligible for accommodation.

READ MORE | Why is there a housing shortage in the Netherlands? The Dutch housing crisis explained

And those numbers just keep increasing. Why? Because there is just too little accommodation for students, and the rooms that we do have are often kept occupied by recent graduates who cannot afford to move on to a starter home.

In some cities, like Leiden, Delft, and Eindhoven, the situation is especially bad. Here, students have to wait over five years to qualify for adequate student housing.

Student-housing-wait-times-leiden-room-nl-screenshot
I have been registered on ROOM.nl since October 2018, yet 24 others would be eligible to rent this Leiden studio before me. Image: DutchReview (screenshot from ROOM.nl)

If you want a real chance of getting a student room or studio in the Netherlands, you have to sign up long before you even enrol in university.

READ MORE | โ€˜No internationalsโ€™: A tale of exclusion in the Dutch housing market

For many internationals who have no idea about the housing crisis until they get here, that’s not an option. They’re often left paying extortionate rents in the free sector.

Waiting times depend on location

The situation is bad in every student city in the Netherlands, but some places have it much worse than others. ๐Ÿ‘‡

Now what?

As chairman Jolan de Bie from Kences, a research centre for student housing, tells NU, there is a plan for action.

“The goal is to build 60,000 new student homes by 2030,” she says. “We are well on our way, but there is still much to be done to meet the goals.”

Did you study in the Netherlands? What’s your experience with student housing? Share them in the comments!

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