Leuven €426M plan faces criticism over taxes and housing

Leuven (Brussels Morning Newspaper) – Leuven council unveiled a €426 million multi-year plan keeping income and property taxes stable. Opposition N-VA, Vlaams Belang, and PDA criticised new small taxes, housing costs, and the €80 million arts centre.

As VRT News reported, Leuven city council presented its multi-year plan this afternoon, Dec 1, 2025. The plan sets out the city’s main priorities and projects for the coming years. It confirms that personal income tax and property tax will remain at the same level. 

The council also announced €426 million in new investments. Officials said the plan is aimed at improving public services and local infrastructure. They described it as a roadmap for the city’s growth. The plan drew criticism from opposition parties.

“A good-news show,” Zeger Debyser of N-VA says.

“As we’re used to. They’re very proud that they haven’t raised personal income tax. Unfortunately, that’s about the only thing they haven’t touched.”

What impact will Leuven’s €426M multi-year plan have on taxes, housing, and businesses?

Zeger Debyser of N-VA said the administration focuses too much on smaller local taxes.

“Parking is becoming more expensive again, taxes are going up for businesses, and tourist accommodations will have to pay more,”

says the party leader.

“Over the years, they’ve also levied extra taxes on household waste. All these small amounts are hurting Leuven residents. People with real estate in the city are also being taxed more heavily.”

Britt Huybrechts of Vlaams Belang warned that families buying a home and small business owners could still feel the financial pressure. She also criticised the city’s plan to sell municipal buildings. Huybrechts said selling assets provides short-term money but could create problems for the future. 

Opposition members argued the plan prioritises spending today while ignoring long-term financial responsibility. They called for a balance between investments and careful management of city money and property.

The PDA Leuven party has expressed concern over the high cost of housing in the city.

“Living in Leuven will become even more expensive,”

says Anton Nilis.

“The ambition to build 320 budget rental homes by 2030 is far too low, and students will also have to pay. Student housing tax will increase from 118 to 190 euros.”

The party said rising prices are putting pressure on residents and could make it harder for people to move to or stay in Leuven. At the same time, the N-VA focused on the effect of taxes on local entrepreneurs. Zeger Debyser of N-VA criticised the new corporate levy, presented as a taxable business area, saying it is unfair for companies. 

The N-VA has regularly raised financial concerns at city council meetings.

“The debt keeps rising under this coalition,”

says Debyser.

“The city is taking out another €180 million in loans. The curve might be a bit flatter than before, but the burden keeps rising. That’s nothing to be proud of.”

The party continues to monitor the city’s budget closely. One of its main points of criticism is the planned performing arts centre, which it says carries high costs and long-term risks. 

“The city has allocated 80 million euros for this prestigious project. You could actually say that the new taxes are going directly to the Hertogen site. Meanwhile, other investments are being cut. What about the ball sports centre? What about the sports hall at the Philips site? No funds have been allocated to carry out these projects this legislative term.”

The debate over the multi-year plan, including taxes, investments, and the arts centre, is scheduled for the December city council meeting. 2 evenings, December 15th, 2025, and 16th, 2025, have been set aside for full discussion and approval of the plan.

The Leuven city council developed its multi-year plan in early 2025, with priorities developed for investment, public service, and taxation from 2026 through 2030. Due to an increase in housing costs and rising business costs, it is a top priority for many residents. There has also been much discussion about the proposed performing arts centre since 2022, due to concerns over its potential impact and the financial burden it may inflict upon the residents in the future.