Dutch Innovation Policy Needs Reform for Future Challenges
Amsterdam, Tuesday, 16 September 2025.
Remieg Aerts highlights the urgent need for tax system and innovation policy reforms in the Netherlands, suggesting the monarchy’s advisory role as political authority declines amid economic and environmental pressures.
The Decline of Political Authority
In the Netherlands, the erosion of political authority has become increasingly evident, as highlighted by Remieg Aerts, a noted historian and biographer. The current political landscape is marked by a significant decline in public trust, with only 4% of the population expressing confidence in the government and parliament [1]. This crisis has been exacerbated by the failure of the Party for Freedom (PVV) to maintain a coalition, leaving the government with just 32 seats [1]. As political parties struggle to form effective coalitions, the need for reform becomes more pressing.
Monarchy’s Potential Role
Amidst these challenges, Aerts suggests that the monarchy could play a crucial advisory role. With the monarchy enjoying greater public trust than the government, there is potential for it to act as an advisor and mediator in navigating political crises [1]. Aerts argues that the King’s Speech, traditionally delivered on Prinsjesdag, could become more substantive and involve more direct input from the monarchy to guide national policy [1].
Economic and Environmental Pressures
The Netherlands is also facing significant economic and environmental pressures that necessitate policy reforms. The upcoming Miljoenennota, to be presented on Prinsjesdag, outlines cautious financial plans given the demissionary status of the government [2]. Key areas such as labor migration, housing, and regional accessibility require urgent attention to restore public trust and address societal issues [1].
Innovation Policy and the Role of AI
Innovation policy is another critical area needing reform. The Netherlands must leverage technology, particularly AI, to enhance its innovation capacity. As highlighted by TNO, AI can help identify innovation trends faster, providing policymakers with the necessary tools to make informed decisions [3]. This technological approach is essential for addressing both economic challenges and societal issues effectively.