Mayor Kummola proposes deficit budget of €39.6 million for Tampere in 2025

Monday 21st October 2024 on 09:23 in Finland

education

Kalervo Kummola, the Mayor of Tampere, has proposed a significantly deficit budget for 2025. During a press conference at Tampere Hall on Monday morning, he outlined that the city’s budget deficit is projected to reach €39.6 million.

Kummola emphasized that the tightening municipal economy poses challenges across Finland, stating, “The economic outlook is difficult. It is essential to prepare for economic stabilization in various ways.” The proposed budget includes one-time asset sales amounting to €70.2 million. The city’s income tax rate will remain at its current level of 7.60% for the upcoming year.

According to Kummola, political negotiations regarding next year’s budget were conducted prior to his proposal, resulting in unanimous approval of the budget. He highlighted that the framework for basic education and early childhood education is tight, but €6.2 million has been added to bolster resources for these sectors. Despite financial pressures, class sizes in primary education will remain unchanged, and small groups will be expanded to accommodate the increasing number of immigrants.

Additional initiatives include a continuation of the pilot program for children’s physical activities and sustaining current outreach youth work, even with reduced government funding. The trial offering free swimming sessions for seniors over 65 will also continue, with access to city swimming halls available for free on weekdays from 9 AM to 3 PM. The participation rate in this age group has more than doubled, according to Kummola.

Tampere plans to maintain substantial investments next year, leading to an increase in municipal debt. Net investments are anticipated to total €225 million, with approximately €121 million in new borrowing. The per capita debt is approaching €4,000, with major projects in construction amounting to €130 million, including renovations of municipal buildings and a central wastewater treatment plant. Updates will follow.

Source 
(via yle.fi)