Wallonia-Brussels Federation faces unexpected 350 Million EUR budget gap

The Wallonia-Brussels Federation (FWB) is facing a severe financial shortfall of 350 million EUR, according to government sources cited by La Libre Belgique.
This gap, uncovered during preparations for the upcoming budget adjustment, marks a sharp deviation from the financial plan set at the end of 2024 for the 2025 fiscal year. The French-speaking government now enters budget talks under significant pressure to make up the difference.
The shortfall puts current public policies at risk and casts doubt on the feasibility of new initiatives promised in the government’s programme. A key challenge is that the FWB lacks its own taxation powers, limiting its ability to raise additional revenue.
Measures are set to emerge from the budget conclave. Looking ahead, La Libre warns that finalising the 2026 budget may prove even more difficult.
To close the gap, cuts are possible across sensitive sectors such as education, youth care, culture and public broadcasting. The situation also revives debate around the Special Financing Law, which governs how Belgium’s communities and regions are funded. Because the FWB depends almost entirely on transfers from the federal level, it has limited flexibility in times of crisis.
Furthering the divide with Flanders
Under Belgian prime minister Bart De Wever's administration, the N-VA has consistently advocated for greater fiscal autonomy and criticised what it perceives as financial mismanagement in other regions. The FWB's deficit may once again reinforce calls from Flemish leaders for federal reforms.
© BELGA PHOTO BRUNO FAHY
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