Netherlands adjusts victim compensation rules and disability benefit payouts

The Dutch creditor‑debtor federation (NVVK) has republished a note urging a reconsideration of how immaterial damage compensation (smartengeld) is handled in debt‑restructuring cases. While existing law and a 2006 Supreme Court ruling require such compensation to be paid to creditors, the NVVK argues that in exceptional, severe cases a portion should be kept out of the bankruptcy estate to preserve the victim’s recognition of harm.

Minister of Social Affairs and Employment Hans Vijlbrief announced a new scheme to compensate people who received incorrectly calculated disability benefits (WIA) between 2020 and 2024. Effective 1 September 2026, the UWV will pay a one‑off lump sum for underpayments, will not reclaim overpayments, and the compensation will not affect means‑tested allowances such as housing or health subsidies.