The PTB’s Rising Influence in Brussels: Impact on Economy & Politics

2023-12-20 05:37:00

The PTB, according to a recent survey carried out by Le Soir and RTL, is virtually the leading party in the Brussels Region, with 19.3% of voting intentions. Certainly, given the particularly high margin of error in the capital, this result must be taken with caution, especially since the far left party is experiencing an opposite trend in Wallonia. The fact remains that the PTB, whatever the poll, is making strong progress in the Brussels Region, compared to its score in the 2019 elections (12.28%).

The PTB 1st party in Brussels according to a new survey, the PS is 4th: “this confirms the desire for a break on the part of the people of Brussels”

The announcement of a possible electoral victory for the far-left party is causing some cold sweats within Brussels economic circles. “This risk actually makes people tremble,” points out Olivier Willocx, CEO of Beci, the Brussels employers’ federation. I spoke once more this Tuesday morning with companies who are considering leaving Brussels for this reason. Including a French company which is in the process of completely disinvesting. The arrival of extremist parties of the communist type, in their analysis of the risk factors for their investments, fuels the idea that their activity should not be maintained in Brussels. We are talking regarding political risk. And no company wants to run this risk, even if it is not the only factor, obviously. In practice, it is mainly companies that have major interconnections with politics that would be impacted, such as those active in waste management, energy, buildings, transport, etc..”

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Investor concerns

And he continues: “If the Brussels majority were to be even more left-wing than the current one, this would have negative consequences, particularly on the real estate market. The climate in Brussels is already not very pro-business, we have seen this once more with the removal of export subsidies by the Brussels government”.

The PTB, however, has already made it known that it does not plan to come to power in the Region. “Certainly, no one is going to want to ally themselves with a party like that. But an electoral victory for the PTB risks having an influence on all the parties, to push them in a direction which would be even more unfavorable to growth”, concludes the CEO of Beci who adds that “the radicalization of public opinion also worries investors, as is often the case when communists arrive in a country.”

Jan Van Doren, director of Voka Metropolitan (Brussels and its outskirts), moderates the point somewhat. “It’s not yet the general alert. And then, it is not up to us to make a political choice, it is democracy that must speak,” he assures.

Very worried regarding the budgetary situation

However, in Voka too, the rise in power of the PTB is worrying. “There is a fear linked to files, such as recently, with the management contract of the Stib, where planned price indexations were blocked. However, if indexation does not take place, it will have to be compensated by the increase in the Stib deficit and we fear that this will further worsen Brussels’ budgetary situation,” underlines Jan Van Doren.

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In this case, however, it is the PS, and not the PTB, which blocked. “Yes, but we have the impression that it was a response to the influence of the PTB,” continues the boss of Voka Metropolitan. More broadly, we are very concerned regarding the risk of deterioration of an already very serious budgetary situation in Brussels, with additional spending. But also a policy which would further stimulate the flight of businesses from Brussels. And this is because of the lifting of new taxes, while the tax pressure is already very high in the Brussels Region, compared to the periphery.”

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“Tax big businesses more”

Contacted by La Libre, the PTB wishes to qualify some of the fears raised by company representatives. “Small self-employed people and SMEs should not be worried,” explains Giovanni Bordonaro, president of the PTB Brussels-Capital Region. There is no desire on our part to make them contribute more. On the other hand, yes, we intend to tax large businesses more. We will have to look at those that make big profits, like Lidl, Colruyt, or energy companies.”

In Anderlecht, Molenbeek, Saint-Gilles, the great ambitions of the PTB in the Brussels municipalities: “We are preparing”

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Rest assured, Ikea is not going to leave Anderlecht because we are adding a new tax to them. Do you know what it would cost them to move? Let’s stop with this liberal argument saying that companies are leaving Brussels because they are being taxed.”

The PTB, even without entering the regional majority, might increase the taxation of certain large companies via the municipal majorities of Molenbeek, Anderlecht, or Saint-Gilles, where it hopes to exercise power following the elections of October 2024. “ What we want is to act for more tax justice, as we are doing in Zelzate (in East Flanders, Editor’s note), the municipality in which we are in the majority. We want to move forward in this direction, for example with the introduction of taxes on parking spaces in supermarkets. This will not concern the pharmacist who has two parking spaces in front of his house. We also want to increase the tax on large areas of more than 1000 m²”, continues Giovanni Bordonaro. “But be careful, we do not want these companies to go bankrupt. We want the economy to function, and not for these companies to lay off workers. In Anderlecht, for example, there are companies present that are doing very well, such as Ikea and Décathlon. Rest assured, Ikea is not going to leave the town because a new tax is being added to them. You know what that would cost them to move? Let’s stop with this liberal argument saying that companies are leaving Brussels because they are being taxed.”

We can bet that these words will not be enough to reassure Brussels economic circles. This is not, in any case, the objective of the PTB.

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