Dutch florists warn planned VAT rise could cost thousands of jobs

A Dutch florists’ trade association has warned that a planned rise in VAT on flowers and plants could put thousands of jobs at risk and push half of florists’ incomes below the minimum wage.

The association, Koninklijke VBW, cites a study by consultancy Decisio and Wageningen University. It estimates that the increase could cause up to €830 million in economic damage and cost between 2,280 and 2,820 jobs across the sector.

The government plan would raise VAT on flowers and plants from 9% to 21%. VBW director Marco Maasse said the increase would make the products less affordable and put pressure on businesses already working with narrow margins.