THE HAGUE, Netherlands - European leaders may have to scrap the proposed EU constitution after Dutch voters rejected it by a massive margin, voicing their concern over dwindling national identity in a rapidly expanding union and increasingly powerful bureaucrats.

The outcome in the Netherlands from the referendum Wednesday - three days after a similar vote in France - was likely to halt the European momentum, which had been welcomed by some as creating a new world power but disdained by others as smothering their cultures in a vast superstate.

With 99.8 percent of the ballots counted, unofficial results showed 61.6 percent voted "nee," while 38.4 percent said "ja." The level of opposition and the turnout of 63 percent exceeded all projections.

Prime Minister Jan Peter Balkenende conceded defeat Wednesday night and said his government would accept the will of the people. Parliament, which has the final say on ratification because the referendum was non-binding, was meeting today to debate the results.

Balkenende acknowledged the huge gap that has emerged between the politicians and the electorate.

"The idea of Europe has lived for the politicians, but not the Dutch people. That will have to change," he said. "We will need to bring across the message that there are doubts here about the fast pace of change, the Dutch identity and other, financial, concerns."

The vote was seen by some as symbolic of an introverted attitude by the Dutch in recent years as they struggle do deal with issues such as integration, a shrinking economy and fears over Islamic radicalism.

It was the first vote held in the Netherlands on the Dutch involvement with Europe, and opponents spoke of a breakthrough for European democracy. The extent of the opposition was a shock to the political establishment, which campaigned for the charter until the final hours of voting.