"A budget for a richer and safer Sweden." This is what the government calls the budget presented by Finance Minister Elisabeth Svantesson (The Moderate Party). One of the goals is said to be to strengthen households' purchasing power in a time of low economic growth for the Swedish economy.
However, criticism comes from several quarters. The Swedish Pensioners' Association (PRO) is deeply critical of the budget for failing to support its members. A tax reduction of a total of 2.5 billion kronor for pensioners is far from sufficient, they emphasize.
It's really a thumbs down. They're talking about 150 kronor more per month, says Åsa Lindestam.
Increase in housing allowance
Instead, PRO would have liked to see an increase in the housing allowance.
We know that hits the mark. We also need to have money for elderly care, as many are worried about what will happen in the future.
One initiative that they do see positively is the strengthened high-cost protection for dental care for all over 67 years old. However, much remains unclear about this, notes Lindestam.
The trade organization Svensk Handel, whose members are heavily affected by consumers' purchasing power, on the other hand, gives the budget a thumbs up.
"We welcome the government's move from words to action and strengthening households' purchasing power. It's a necessity, given the strained economic situation," says CEO Sofia Larsen in a press release.
Thumbs down
One issue that is being missed, according to Svensk Handel, is the question of reduced employer fees. The trade organization points out that it is needed when companies not only compete nationally, but also globally.
"The high labor costs risk contributing to Swedish trade companies falling behind and consumption, entrepreneurship, and jobs disappearing abroad," says Sofia Larsen.
The trade union umbrella organization LO does not believe that the budget is "the new start Sweden needs and LO has long been calling for". Instead, they would have liked to see targeted initiatives for low- and middle-income earners, such as increased child benefits and the abolition of the qualifying period in sickness insurance.
"Sweden needs functioning welfare and more jobs. Not billions in targeted tax cuts for high-ranking executives," says LO's chairman Johan Lindholm in a press release.
