Cautious improvement in financial health of Dutch households

Rotterdam, 25 March 2024

To gain insight into and measure the financial health of the Netherlands, Deloitte, in collaboration with Nibud and academics from Tilburg University and Leiden University, conducted research among 5,001 Dutch households.

"With our measurement methodology, we make a distinction in financial health. We express these in four unique financial health levels, each with its own dynamics and points of attention," says Wendy Brink-den Nieuwenboer, researcher on this theme and Director Risk Advisory at Deloitte. "We should not forget the financially vulnerable households in particular; They are often overlooked because they are just able to make ends meet. But they lack a solid financial buffer. Proactive assistance can protect them from relapse and ensure a financially healthier future."

Arjan Vliegenthart, Director of Nibud: "It's nice that there is a little more air for many households, at the same time the problems are piling up among certain groups, there is really work to be done there. "

Read the summary of the Financial Health report

Read the Financial Health Report

Some of the results of the study:

Cautious improvement in financial health of Dutch households

In 2023, Dutch households were better able to keep the various domains of financial health in balance. Households had more breathing space to keep income and expenditure in balance, due to wage increases, support measures such as the energy allowance and the fall in inflation. As a result, a larger share of Dutch households was able to build up or expand financial buffers. This resulted in an improvement in the domain scores on the domains Income, Expenses and Savings. The scores in the Borrowing and Planning domains show few shifts and, although most consistent over the past three years, there is also room for improvement in these domains.

41% of Dutch people rarely or never talk about their finances

An important condition for being able to help Dutch people with their finances is that they are willing to talk about this. If financial matters are not discussed, problems can go unseen for longer. However, the research shows that the Dutch do not easily start a conversation about their financial affairs. 41% of Dutch people rarely or never talk about their finances. 15% of the Financially Unhealthy Dutch never talk about their finances. 32% of the group thinks the subject is too personal, 34% don't feel the need for it and 11% are ashamed of their situation.

18-24-year-olds are doing better financially, but remain vulnerable and take risks

18-24 year-olds are at a stage where making mistakes is part of the financial learning process, but where the foundation for financial health is also being laid. Despite the fact that a larger proportion of 18-24-year-olds are financially healthy in 2023 (18% compared to 10% in 2022), it remains worrying that more than two-thirds of 18-24-year-olds are still financially vulnerable (35%) or financially unhealthy (34%). In addition, 18-24-year-olds are more likely to spend money on riskier products and/or services. One in six gambled online in 2023, 19% put money into cryptocurrencies and 44% used postpay, also known as Buy now, Pay Later.

Gap between men and women has widened

In 2023, both men and women were more likely to have the health level financially healthy or financially adequate, a positive development. Nevertheless, the gap between men and women has widened; men caught up more than women in 2023. Despite cautious improvements, women often find themselves in an uncertain financial situation. In terms of financial behaviour, we see some interesting differences between men and women. For example, in 2023, women (45%) were more likely than men (30%) to make purchases they regretted afterwards and women were more likely to use Buy Now, Pay Later (45% of women versus 27% of men).

Research accountability

Deloitte conducted a study into the financial health of Dutch households for the third time in 2023. To this end, in 2023 November 5001 respondents were surveyed about their behaviour, attitude and knowledge with regard to the underlying domains of Income, Spending, Saving, Borrowing and Planning and the balance between them.

The research was developed and conducted in collaboration with Nibud and academics from Tilburg University and Leiden University. This report has been further enriched with specific expertise on and experience with, the subject of financial health from ABN AMRO, ING and Nationale Nederlanden.

The results are based on a representative representation of the Netherlands based on age, gender, region and income. If necessary, a weighting has been applied to the data. The questionnaire was done online and was published in Dutch. As a result, groups that may be extra (financially) vulnerable, such as people with low literacy, people with low digital skills and non-native speakers, are not included.