Tug-of-War over the Budget - Now It's Time to Decide

The government is holding its annual budget meeting at Harpsund today. Finance Minister Elisabeth Svantesson (M) is expected to present her assessment of how much money is available for the new initiatives the parties want to implement in 2025.

The Christian Democrats (KD) have highlighted infrastructure and healthcare as two important areas for the party.

It's clear that they have had different priorities towards the voters, and they are naturally fighting for them with tooth and nail, says KD's economic policy spokesperson Hans Eklind.

The budget proposal is to be presented on September 19. Since the government has declared inflation defeated, there are high expectations from many quarters that it will contain large investments.

Wants to Borrow

KD wants the state to borrow to be able to afford to upgrade, among other things, roads and railways.

We'll see where we end up, but Sweden must borrow to finance if we're going to manage the maintenance debt on infrastructure, says Eklind.

The decreasing inflation has reduced the regions' pension costs, and therefore there is no longer the same pressure to support healthcare economically. But KD sees a need, especially when it comes to mental health.

We see that healthcare and regions are still struggling with their economy and will do so next year as well, says Hans Eklind.

The Liberals (L) have stated that they are pushing for lower taxes and investments in climate and education. The Sweden Democrats (SD) are more secretive, but point out that they always prioritize reduced immigration and crime fighting highly.

Lower Tax

The Moderate Party (M) also prioritizes crime fighting highly. But Svantesson signals that households need to be compensated after the high price increases in recent years.

On the negotiating table lies a range of tax cuts. Among other things, a new job tax deduction and lower tax for pensioners, totaling ten billion kronor. This would account for one-fifth of the 50 billion that the National Institute of Economic Research estimates is available for new reforms.

The Finance Minister also wants to get the Swedish economy going, whose growth is among the lowest in the EU.

I am keen to have growth reforms and proposals in the budget that will get the Swedish economy going and growing, says Svantesson.

Among the measures to strengthen Sweden's competitiveness in the long term, a research investment is expected. The government will present a research proposal this autumn.

Peter Wallberg/TT

Johanna Ekström/TT