Budget Bill for 2022: A stronger and more sustainable Sweden after the pandemic
The Government is presenting the Budget Bill for 2022 to the Riksdag today. In it, the Government proposes measures to accelerate the climate transition, get more people into work, strengthen the welfare system and make Sweden a safe country for all. In total, reforms worth approximately SEK 74 billion are involved.
“We are now presenting a budget with aggressive reforms for the climate, jobs, welfare and law enforcement. Together, we will take Sweden forward after the pandemic,” says Minister for Finance Magdalena Andersson.
Swedish economy shows strong recovery
Strong growth is expected this year and next. Job market prospects are improving in step with growing demand, but problems continue for some groups. Stable public finances enable continued fiscal policy support for the recovery and management of the pandemic’s risks.
Reforms for a stronger and more sustainable Sweden
The Government proposes reforms totalling SEK 74 billion in the Budget Bill.
Faster climate transition
Climate change is the defining issue of our time. Sweden is and will continue to be a leader in environmental and climate efforts. The Government therefore proposes measures to ensure that Swedish industry retains its leading position in the climate transition. This includes reinforcement of the Green Industry Leap and a knowledge boost. To contribute to transport infrastructure that leads to a more sustainable society, the Government proposes funds to upgrade the transport system and maintain roads and railways. The Government also proposes measures to accelerate efforts to transition to a more circular economy and a greener everyday life. These proposals include measures to improve possibilities of commuting by bicycle and facilitate electrification of buses.
Getting more people into work
Thanks to the crisis measures that the Government introduced, the unemployment rate has been kept down. At the same time, it is inevitable that unemployment increases during times of economic crisis. The job market is taking a sharp upturn, but forceful action is needed to ensure that unemployment does not become entrenched. The Government therefore proposes measures to sustain the economic recovery by such means as investments in a green transition and increased general state aid to municipalities and regions. To suppress long-term and youth unemployment, the Government’s proposals include more training positions, work experience positions, introductory jobs and extra jobs. The Government also proposes more measures to eliminate bottlenecks in the job market. This includes a proposal for additional funds to strengthen the Swedish Public Employment Service and continued expansion of the Knowledge Boost in 2022. The Government further proposes introducing a new system for transition in the labour market so as to meet changes in the labour market with security and belief in the future.
In Sweden, everyone should be able to live, develop and realise their dreams no matter where they live. The Government therefore proposes measures to promote flourishing rural areas and competitive and ecologically sustainable agriculture, support the tourism and hospitality industry, contribute to well-functioning infrastructure and promote more sustainable construction and exports.
Strengthened welfare system
The pandemic has shown the importance and need of a general, jointly funded welfare system, but has also revealed some serious shortcomings. The Government therefore proposes measures for more accessible health and social care aimed at managing the pent-up need for care and shortening waiting lists. For more secure social insurance and a more sustainable working life, the Government proposes raising the income ceiling for sickness benefit and enhancing the insurance coverage for on-demand employees. Moreover, it is proposed that resources also be allocated in 2022 to vaccines, vaccinations, testing and contact tracing to limit the spread of COVID-19. As part of the efforts to achieve a more equitable knowledge-based education, the Government proposes a joint school selection system and that course grades be replaced by subject grades in upper secondary school. Moreover, the Government proposes more measures to contribute to flourishing culture and sports throughout the country. This includes increased funding to regional cultural activities and making it possible for more children, young people and people with disabilities to participate in sports throughout the country.
Sweden – a safe and secure country for all
Serious crime threatens solidarity and safety in our country. We must fight crime with full and undiminished force, using every tool at our disposal. The Government therefore proposes measures to continue fighting gang crime through additional funding to the Swedish Police, the Swedish Prison and Probation Service and Swedish Customs, and for more prosecutors and increased prison capacity. To eliminate cheating with taxpayer money, the Government proposes allocating additional funds to the relevant government agencies and establishing a new government agency for system-wide monitoring of payments from welfare systems. To stop men’s violence against women, honour-based violence and oppression, prostitution and human trafficking, the Government proposes a multi-year action plan, and permanent funds will be allocated to allow this work to be long-term and sustainable. Moreover, the Government wants to improve preparedness in a new era by following up on previously announced investments in military and civil defence, by establishing a new government agency for psychological defence and to continue the gradual establishment of a secure communications system for actors in public order, security, health and defence.