A new study has examined the exorbitant costs the Dutch government has endured as it has sought to deal with the growing number of migrants flooding into the nation. So far the study has found that the government has spent more on the newly arrived migrants than it has spent on education, social security, and benefits for its people. The study found the total cost of immigration to the government has been over €400 billion ($430 billion) over the course of almost 25 years.
The new report, “Borderless Welfare State: The Consequences of Immigration on Public Finances,” has found that the migrant crisis has cost the Netherlands about €17 billion a year on average, with the costs peaking at €32 billion in 2016, at the height of the 2015 refugee crisis.
The study reported that the vast majority of the cost were incurred through economic redistribution which occurred through the welfare state. It concluded that due to the economic realities, either the Dutch state will have to curtail immigration in the future, or the government will need to institute vast cuts to its welfare system.
The study stated that if immigration continues at its current rate, and the cost structures surrounding it remain the same, it will render either the curtailment of the welfare state, or curtailment of immigration inevitable.
The study noted that the government of the Netherlands spent roughly €30 billion on education in 2016 alone, which is €2 billion less than it spent on migrants in the same year.
The study also pointed out that the migrants are typically paying less in taxes, and they make fewer social security contributions than non-migrants make. There is confirmation of this in a separate report by the Dutch Finance Ministry, which admitted that migrants, on a net basis, contribute into the system less than the rest of the Dutch population.
The study found that the contribution rate of Turkish and Morrocan migrants into the system was very negative, compared to other groups. The study calculated that the average Moroccan would cost the Dutch people about €260,000 per person over their lifetime.
The study went on to note that Middle Eastern and North African migrants, on average, were net drains on the system, consuming more resources from the state than they would contribute into it.
Other types of non-Western immigrants, particularly Asians, are slightly net contributors into the system, according to the research. However the study found that even immigrants from Western nations lagged behind native Dutch citizens, in their economic contributions to the system.