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2021 floods: cooperation agreement approved in the Finance Committee

19/03/2025
In brief

The federal government and Wallonia are granting a partial exemption from payroll tax withholding to employers affected by the 2021 floods. A €97 million budget supports this economic recovery and can be adjusted according to needs. The MR sees this as concrete solidarity between levels of government to rebuild the affected areas.

To provide concrete support to businesses affected by the floods that struck Wallonia in the summer of 2021, the federal government and the Walloon Region concluded a cooperation agreement last July. That agreement has just been endorsed today by the Finance Committee.

In practical terms, a support mechanism will be set up for employers who have suffered material damage and/or loss of income. This support will take the form of a partial exemption from payroll tax withholding, thereby easing the tax burden on affected businesses.

This measure complements the existing regional aid, ensuring a faster and more effective revival of economic activity in the hardest-hit areas.

Benoit Piedboeuf, MR group leader in the Chamber and member of the Finance Committee, stresses that “ this law shows that solidarity between levels of government in Belgium is not just a notion. On the contrary, it reflects the shared will to ensure the economic reconstruction of this part of Wallonia after this unprecedented disaster, and to deploy an effective aid mechanism that meets the reality on the ground. ”

A €97 million budget for economic recovery

The federal government has allocated a budget of €97 million to finance this aid. This amount may be adjusted according to needs, as part of consultations between the federal State and the Walloon Region.

The law also provides for a clear application procedure and a rigorous monitoring system to ensure a fair and efficient distribution of funds. The MR has called for the bill to be brought to the plenary session quickly so that it can be finally passed.


Text of the law

Automatically translated from French. Read the original