Monday , January 30 2023

Government spending is rising mainly due to the increase in the provision of care services NOW


Public spending has increased by 3% per annum since 1998. This includes all governmental and semi-governmental organizations. The increase is mainly due to increased services, for example in education and healthcare.

Market expenditure or trade grew less rapidly by 1.3% on an annual basis, while services grew by the same amount.

This is reported by the Office of Social and Cultural Planning in the "Predicted Public Situation" report, which includes an overview of developments in the spending of 27 public services between 1998 and 2015.

In 1998, public expenditure on public services amounted to € 74 billion. By 2015, this figure had risen to 123 billion. The SPD emphasizes that this does not concern the amounts paid, for example, to social security.

Expenditure on therapeutic and long-term care has increased

The differences between the sections of the public sector are large. In so-called therapeutic care (with a view to healing and healing), expenditure grew by 32%, while in long-term care the increase was 27%. This is partly due to the aging of the population. Security and justice (9%), social security (2%) and other sectors (7%) account for a much smaller share of spending.

In 2015, 60% of total spending on public facilities was funded by the government. Citizens provided 7% of their own payments and the remaining 33% dropped to a large extent in collective schemes such as the Health Insurance Act.

According to the SPD, the increase in staff costs is an important reason for increasing public spending. They account for about two-thirds of total spending.

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