The ruling Dutch coalition has reached agreement on the main points of its planned tax reforms, junior finance minister Eric Wiebes said early on Wednesday afternoon.

A number of ‘technical issues’ remain to be dealt with but talks with the opposition will start before the summer recess, Wiebes said.

The government needs the support of several opposition parties to ensure the legislation passes in the upper house of parliament, where it is 17 seats short of a majority.

The Dutch central bank calculates the government has some €5bn at its disposal to pay for the changes and this is likely to make it easier to win opposition support, Nos says.

One element of the overhaul will involve replacing the plethora of supplementary benefits, such as housing support and childcare subsidies, with a single payment.