DUTCH Liberal Prime Minister Mark Rutte's coalition government was sworn in on Monday already under fire over pro-austerity measures seen as punishing his party's core middle-class voters.
Rutte's VVD and Diederik Samsom's centre-left PvdA came out on top in September 12 elections and have been in coalition talks ever since, with Queen Beatrix swearing in Rutte's new government on Monday morning.
But the ceremony, broadcast live for the first time, was overshadowed by widespread unhappiness with an austerity package agreed by the two pro-European parties aimed at saving 16 billion euros ($A19.99 billion) by 2017.
The most controversial part of the deal means that health insurance premiums will now be calculated according to income, a measure that has caused dismay among the VVD's traditional wealthy and the middle class voters.
The election was seen as a test of Dutch anti-European sentiment and voters ended up rejecting far-left and far-right extremism, with the Liberals obtaining 41 seats while Labour took 38 out of a possible 150.
But Rutte's VVD party's support is in freefall, with an opinion poll published Sunday saying they would win 11 seats less if an election were to be held now.
"False start," "Sombre start for new government," headlined the popular De Telegraaf and the Algemeen Dagblad dailies.
The Netherlands came under fire from its European partners when its deficit tipped to 4.7 percent of gross domestic product last year, above a three percent ceiling imposed by the European Union.
Talks on budget cuts led to the collapse of Rutte's government in April when his far-right parliamentary ally walked out of negotiations.
"The normally festive beginning of a new government is overshadowed by widespread anger over health insurance, which will not quiet down," wrote De Telegraaf.
The problem "threatens the government's stability before it's been orn in," said the left-leaning De Volkskrant.
PvdA party leader Samsom is staying in the lower house rather than taking up a ministerial post.
Members of his party members are however taking key portfolios, including deputy prime minister Lodewijk Asscher, Foreign Minister Frans Timmermans and Finance Minister Jeroen Dijsselbloem.
The VVD's Jeanine Hennis-Plasschaert becomes the Netherlands first woman defence minister.
The cabinet is to hold its first meeting on Monday afternoon.
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