The Dutch government resigns after the child benefits scandal

LONDON – The entire Dutch government resigned collectively on Friday following a scandal related to mismanagement of childcare funds, which led thousands of families to financial difficulties.

An investigation revealed in December that tax officials had erroneously accused thousands of working families of fraud and ordered them to pay childcare benefits between 2013 and 2019. Some Dutch lawmakers have described the event as an “unprecedented injustice”.

The revelation led to the resignation on Thursday of opposition leader Lodewijk Asscher, who was the minister in charge of social affairs for the previous administration.

The government led by Prime Minister Mark Rutte, in power since 2017, decided on Friday to accept responsibility and collectively leave office in the wake of the scandal.

Rutte, who spoke at a news conference, said he would continue to lead the Covid-19 emergency response with vigilante status.

The Netherlands was already due to hold new parliamentary elections in March, but the resignation of the government comes at a difficult time. The country is in a state of national closure and has had nearly a million Covid-19 infections and 12,875 deaths since the start of the health emergency, according to Johns Hopkins University. The Netherlands must also prepare a plan on how it will renew the post-pandemic economy.

Rutte had previously said the government’s resignation would not be useful at this time, as the nation needs stability to deal with the pandemic, Politico reported. However, this is not the first time that a Dutch administration has given up collectively to show a common responsibility.

The families involved in this case have filed charges against five politicians this week, including current Finance Minister Wopke Hoekstra.

Given the proximity of the general election, ministers could end up holding their role until voters go to the polls.