BRUSSELS — Belgian Prime Minister Bart De Wever handed in his resignation on Monday after his five-party coalition failed to agree on next year's budget, but King Philippe has not yet decided whether to accept it, the Associated Press reported. Belgium's Royal Palace confirmed that De Wever had resigned “following the failure of budget negotiations within his government.”
Source: Associated Press, Nov 2
“The King regrets the lack of an agreement that would provide the country with a credible budget capable of addressing the challenges it currently faces,” the palace said in a statement after De Wever's meeting with the King on Monday morning. The palace added, as reported by Rapporteur, that “against a backdrop of major geopolitical uncertainty and significant economic challenges, the country cannot afford a protracted political crisis.” King Philippe intends to consult party group leaders from Tuesday, before receiving De Wever at the palace again on Friday.
Source: Associated Press; Rapporteur, Nov 2
A coalition split over who pays
The so-called Arizona coalition — De Wever's Flemish nationalist N-VA, the Flemish socialists of Vooruit, the Flemish Christian Democrats CD&V, the French-speaking liberal MR and the centrist Les Engagés — has spent months trying to agree how to find about €10 billion in savings by 2029, Brussels Signal reported. The dispute pitted Vooruit, which wanted the wealthiest Belgians to contribute about €1.5 billion, against MR and the N-VA, which resisted new taxes. Senior ministers held talks late on Sunday in a last attempt to agree the package, and De Wever presented a revised budget proposal on Sunday, according to Belgian news agency Belga, but no deal was reached.
Source: Brussels Signal; Rapporteur, Nov 2
Reuters reported that De Wever, who took office in February 2025, arrived at the Royal Palace on Monday morning and did not speak to the press, and that his office did not immediately respond to a request for comment. He has repeatedly warned of an “interest snowball” without budget cuts, in which Belgium would need to take on new loans to pay interest on existing debt. The crisis coincides with heightened stress on financial markets, where interest rates have risen sharply on the government bonds of Belgium, France and other European countries seen to have weak public finances.
Source: Reuters, Nov 2
What is solid
- De Wever handed in his resignation on Monday after budget negotiations inside his government failed — confirmed by the Royal Palace and reported by AP and Reuters.
- King Philippe is withholding his decision on whether to accept the resignation, will consult party leaders from Tuesday and will receive De Wever again on Friday.
What is only claimed
- Whether the resignation will actually take effect is undecided — the King may refuse it or send De Wever back for a last push at the negotiating table, De Tijd reported via Reuters; if it is accepted, the King could ask other parties to form a new coalition, or it could lead to new elections.
What happens next: negotiators had until midday on Tuesday, November 3, to strike a deal if the budget is to pass parliament before the end of the year, VRT reported via Brussels Signal; otherwise Belgium would fall back on “provisional twelfths”, capping monthly spending at one-twelfth of the previous year's budget — an outcome De Wever has ruled out. Belgium has been under the EU's excessive deficit procedure since July 2024 and must bring its deficit below the 3% limit by 2029. For a country that hosts the European Union's main institutions in Brussels, a prolonged caretaker period would be watched closely across Europe — including by the Indian and Punjabi workers, students and businesses in Belgium whose permits, jobs and costs sit inside the euro zone economy this budget fight is about.
Source: Brussels Signal; Reuters, Nov 2