Belgian parliament approves sweeping fiscal reforms to tackle inflation
May 30, 2026
Brussels [Belgium], May 30: Belgium's federal parliament has approved a package of budget measures, including the new "centenindex" system that will limit automatic wage and benefit increases for some workers and pensioners.
The government said the reforms are needed to reduce Belgium's budget deficit and keep pensions affordable in the long term.
For many expats and newcomers to Belgium, the most important change is the centenindex. Belgium normally links wages, pensions and benefits to inflation through an automatic indexation system. Under the new rules, future index-linked pay rises will be fully applied only to the first €4,000 of a gross monthly salary. For pensions and benefits, the limit is €2,000 gross per month.
The measure will apply twice during the current government term: once from June 2026 and again from 2028.
The programme law also includes higher excise duties on gas and heating oil, lower duties on electricity, and increases to both the flight tax and the tax on investment accounts.
Source: Emirates News Agency
