Two welfare regions file complaints over rushed €390 million funding cuts

Two Finnish welfare regions have formally complained to the Chancellor of Justice, arguing that the government’s proposed €390 million funding cuts for 2029 were pushed through with an unreasonably tight consultation period, Yle reports.

The regional councils of Pirkanmaa and Kanta-Häme filed complaints on Monday, stating that the one-day deadline to submit feedback on the social and healthcare (sote) financing reforms violated principles of good governance. The government plans to reduce welfare region funding by roughly €70 per resident annually by 2029.

Oma Häme, the Kanta-Häme welfare region, warned that the changes could slash its budget by €25 million in 2027 and €39 million in 2028—far exceeding its prepared adjustments. “We had accounted for funding fluctuations, but not cuts of this magnitude,” said Petrus Kukkonen, the region’s finance director.

Pirkanmaa’s welfare region, Pirha, called the process “arrogant,” noting it had already implemented strict cost-saving measures since its 2023 launch, including service network reforms and layoffs. “We’re being penalized for being the first region to get our finances in order,” said Hanna Tainio, chair of Pirha’s regional council.

The Ministry of Finance initially gave welfare regions less than 24 hours to review the proposals, later extending the deadline by one business day after complaints. Tainio emphasized that the Chancellor of Justice typically recommends 6–8 weeks for such consultations. While all welfare regions criticized the rushed timeline, only Pirkanmaa and Kanta-Häme filed formal complaints; others delegated protests to Hyvil Oy, their collective advocacy firm.

The reforms, set to take effect in 2027, include extending the assessment period for long-term diagnoses to two years—a change intended to better account for chronic illnesses but which may significantly alter funding distribution. Updated materials were only provided to regions on March 26, the day before the original deadline.

The government plans to submit the proposal to Parliament as urgent legislation in April.