In September 2011, Dutch private sector investments in tangible fixed assets were more than 6 percent up on September 2010, according to Statistics Netherlands. The increase was somewhat more substantial than in August, when growth was just below the 6 percent level.
The growth of investments in residential property was larger than in August. This could partly be due to the temporarily low VAT rate on residential property renovation projects. The rate was lowered from 19 to 6 percent on 1 October 2010. September 2011 was the last month the low rate was effective. On 1 October 2011, the VAT rate was raised back to 19 percent.
Unlike in August, the increase in private sector investments in September was not affected by the working-day pattern. In September 2011, the number of working days was the same as in September 2010; August 2011 had one working day more than August 2010.
Despite the growth in 2011, private sector investments in tangible fixed assets are as yet on a very low level. In September 2011, private sector investments were still nearly 18 percent down on September 2008, the month the American Lehman Brothers Bank went bankrupt.