Belgian Prime Minister Bart De Wever has decided to resign from his post after his five-party coalition government failed to reach an agreement on closing a €10 billion budget gap. King Philippe is currently considering De Wever’s resignation offer.

Senior officials from De Wever’s coalition government held talks over the weekend in a last-minute effort to reach an agreement on next year’s budget, but they left the negotiations early Monday morning without a deal. As the budget must be approved by parliament before the end of the year, Tuesday was considered an unofficial deadline for reaching an agreement.

De Wever submitted his resignation to King Philippe after the coalition partners failed to overcome disagreements over measures needed to reduce the budget deficit.

The Royal Palace announced that the King had “put his decision on hold” and would begin consultations with the leaders of the coalition parties. The palace said the King called on all sides to show responsibility and prioritise the general interest and a spirit of compromise.

During the budget negotiations, De Wever sought to demonstrate to financial markets that Belgium was moving toward meeting its European obligations. Belgium recorded a budget deficit of 5.2 per cent of gross domestic product in 2025, and the deficit is expected to increase further next year.

De Wever had previously rejected the possibility of starting the new year with a temporary budget that would allow the government to continue spending according to last year’s plan.

The budget talks had continued for weeks, with disagreements mainly emerging between the Flemish socialist Forward party and the French-speaking centre-right Reformist Movement.

Forward called for higher-income groups to contribute more through taxes, while the Reformist Movement rejected this approach and opposed a broader reform of value-added tax.

Following the collapse of the talks, Reformist Movement Deputy Prime Minister David Clarinval told reporters that there were still too many tax measures on the table. He did not rule out the possibility of negotiations resuming.

The dispute comes as Belgium faces growing pressure over public finances. The European Commission has projected that the country’s debt could reach around 110 per cent of GDP, while rising debt costs are increasing pressure on the government to take action.

De Wever is expected to meet King Philippe again on Friday as consultations with coalition partners continue.

Belgium has previously experienced prolonged budget negotiations. Last year, De Wever did not resign during a similar dispute but instead requested additional time from King Philippe to reach an agreement.

Experts warn that if early elections are held, Belgium’s political landscape could shift further toward more radical parties, with the far-right Vlaams Belang and the far-left Workers’ Party performing strongly in opinion polls.

If the King accepts De Wever’s resignation, Belgium could face a new government formation process or the possibility of early elections.(ILKHA)