Belgium's Pensions Ombudsman has urged the Belgian government to change the law so savings spent on essential living expenses are no longer taken into account when determining eligibility for the Income Guarantee for the Elderly (IGO).

The IGO is a social assistance benefit designed to supplement low pensions for people aged 66 and over who have limited financial resources.

Under the current rules, pensioners with substantial savings may not qualify for the benefit when they first apply or when their entitlement is reviewed automatically.

However, even after they spend these savings and submit a new application, the Federal Pensions Service strictly applies the IGO legislation.

This means that savings spent in the meantime, for example, on food, clothing and other essential everyday living costs, will still be taken into account for a further 10 years from the point the savings were spent when determining whether an individual is entitled to an IGO.

Belgium's Pensions Ombudsman said that this “makes no sense” as the individual no longer has any savings and finds themselves in poverty.

While acknowledging the difficulty of distinguishing between savings spent on ordinary living costs and money deliberately squandered, the ombudsman believed savings used for normal expenses should not continue to affect eligibility for the benefit.

“After all, the Federal Pensions Service’s strict legal interpretation conflicts with the intention of the IGO legislation: to protect pensioners from poverty,” it emphasised.

The ombudsman previously highlighted the issue in its 2022 annual report and called on politicians to amend the law to ensure that the normal use of savings is taken into account when assessing entitlement.

On 8 September 2026, Belgian MP, Nahima Lanjri, submitted a bill to amend the Royal Decree of 23 May 2001 governing the IGO, proposing changes to the means test, including the exemption of certain capital derived from the sale of a home and addressing access to the Central Point of Contact.

The bill remains under parliamentary consideration, with the Council of State having been asked to provide an opinion in September 2026.

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