Surplus budget proposed for welfare region of Vantaa and Kerava in Finland

The budget for next year is set to be surplus for the first time in the welfare region of Vantaa and Kerava. According to the budget proposed by the welfare area director, the overall funding for welfare areas in Finland in 2025 is expected to be approximately €26.2 billion, with Vantaa and Kerava’s share amounting to around €1.2 billion. This budget reflects an increase of about 13% from the previous year due to post-audit adjustments. However, the welfare area warns that despite the surplus, the available funding for 2025 remains tight.

Vantaa and Kerava must address the demands of a growing population while also covering deficits from previous years with increased funding. The statement notes that the state’s diminished financial support against rising service needs presents significant challenges for the region. The projected growth in the welfare region’s expenses is just over 1%. Specialized healthcare costs are anticipated to rise by about 4%, while costs for in-house services are expected to increase by nearly 2%. Meanwhile, spending on purchased services will see a cut of 3.6%.

“The budget’s requirements necessitate complete success from our region. We must improve the productivity of services by 2% in line with the reform program’s goals,” states the welfare area director, Timo Aronkytö. Vantaa and Kerava is noted as the most multicultural welfare area in Finland, facing metropolitan issues.

Earlier this year, the welfare area sought additional funding, which the state did not provide. This was the first time the welfare area requested extra resources from the government. “Addressing deficits by 2026 as required by law will be nearly impossible without jeopardizing resident services. This topic will be discussed thoroughly and constructively in negotiations between the state and the welfare area,” concludes Aronkytö, noting that most welfare areas are facing similar deficit challenges.