Brussels Faces €157.5M Social Services Strain from Unemployment Benefit Cuts

July 13, 2025
Brussels Faces €157.5M Social Services Strain from Unemployment Benefit Cuts
  • As summer approaches, federal ministers are negotiating how to distribute these financial implications stemming from the reform, which originates from the Arizona government.

  • Brussels' socio-economic profile, with higher numbers of unemployed individuals in categories like 'head of household' and 'isolated,' suggests a greater likelihood of these individuals transitioning to CPAS-supported income.

  • The Brussels Federation of Public Social Action Centers (CPAS) has assessed the financial repercussions of the federal reform that limits unemployment benefits, highlighting significant impacts on social service centers.

  • According to the National Employment Office, approximately 40,775 people in Brussels are expected to lose unemployment benefits, representing over 22% of the national total of 184,463 exclusions.

  • The federation estimates that around 60% of these excluded individuals, roughly 24,465 people, could transfer to CPAS support.

  • The total financial burden on Brussels' local authorities is estimated at 157.5 million euros, covering social integration income, hiring additional social staff, and administrative personnel.

  • The federal government plans to allocate increasing funds over the coming years, with 51.5 million euros for 2026 and 2027, rising to 66.5 million euros in 2028, and 75 million euros in 2029, to support CPAS in Brussels based on the projected 22% exclusion rate.

  • However, President Sébastien Lepoivre states that the compensation announced for all Belgian CPAS is insufficient to cover the actual costs incurred by this reform.

Summary based on 1 source


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