Irritation about advertising tax in Groningen continues. ‘There is no entrepreneur who understands that’

Political annoyance about the levying of advertising tax in the Groningen city center is increasing. Opposition parties find the way in which entrepreneurs are attacked illogical and incomprehensible.

The mayor and aldermen want to introduce advertising tax to prevent cluttering of the shopping area. It calls this regaining public space. It is being investigated how many advertisements there are and what entrepreneurs will have to pay.

During the spring debate on municipal finances, seven parties (VVD, CDA, PVV, D66, City Party 100% Groningen, Student & City, Party for the North) tried to stop the introduction of the advertising tax. They believe that entrepreneurs have already had a hard time in corona times. In addition, they already pay sufferance tax, which is also a levy on the use of public land.

Entrepreneurs should pay for advertisements that are visible from the public road. This also includes flat signs that are nailed to the facade and take up practically no space. Councilor Ietje Jacobs-Setz (VVD) is stunned. “So if you have something like that at a height of 2 meters above the door, you have to pay. If retailers take that away, what space will be reclaimed? Nothing right?”

Payment must also be made if an entrepreneur has advertisements behind a shop window. Jim Lo-A-Njoe (D66) finds that strange. “What does that have to do with regaining public space? There are many entrepreneurs who really don’t understand this.” Jacobs-Setz can be brief about it. “If you have to pay for a poster behind your window, that’s just bullying an entrepreneur.”

Entrepreneurs are not cheering

According to alderman Mirjam Wijnja (GroenLinks, finance), the advertising tax is a levy that discourages use of the street. “From conversations with entrepreneurs, I conclude that there is consensus about that goal. We may disagree whether this is a good remedy. I don’t expect entrepreneurs to jump.”

After the summer, the municipality will continue to talk to the entrepreneurs and the city council about the advertising tax. Wijnja: ,,We are talking about the implementation and implementation, but also about what it yields.” A motion to torpedo the advertising tax in advance did not reach the finish line with 20 votes in favor and 24 against.

Jacobs-Setz finds the municipality’s dealings with entrepreneurs a cause for concern. “We notice that entrepreneurs are spoken contemptuously. As if there is a money tap on every facade. They experienced the advertising tax as a robbery, even though it was stated in the coalition agreement, as you say. Your college talks about participation, but that didn’t work here.”

The municipality of Groningen can use every penny. Just like a few weeks ago when discussing the 2022 annual accounts, Wijnja emphasized that the financial situation of the municipality is deteriorating. Due to a national cutback of three billion euros, most municipalities in the Netherlands will collapse in the coming years.

Robber fighting with the Empire

What threatens is a government cut in the municipal fund, which will be at the expense of the quality of life in neighborhoods and villages. ,,For us it is a gap of 45 million euros that we cannot count on closing”, said Wijnja. The municipalities will fight a little more about this. Meanwhile, local taxes are being increased. The property tax will also rise with the inflation adjustment.

The opposition parties believe that it is time to make choices when it comes to major projects, such as the Nieuwe Poort. Amrut Sijbolts of the City Party 100% Groningen: ,,If there are parties who think this is not possible, I will remind the Regiotram. It didn’t come either. Or does the council choose to jump down from the tower like a Jan van Schaffelaar.”

Merger with Haren a boon for City

Leendert van der Laan (Partij voor het Noorden) could not resist considering the reorganization as a financial blessing for the city. “Groningen can be happy with the municipal merger with Haren and Ten Boer. This generates a lot of tax money and more money from the municipal fund. Without reclassification, the financial position would have been much worse.”

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