Opens in a new tab

Minister acknowledges housing-interest proposal came earlier

Friday 9th October 2026 on 18:30 in Iceland

housing benefits, Iceland, labour negotiations

Finance and Economic Affairs Minister Daði Már Kristófersson has acknowledged that a proposal on housing-interest benefits was raised earlier in negotiations than the government’s recent presentation suggested. He also expressed regret that Efling union leader Sólveig Anna Jónsdóttir feels trust has been broken, mbl.is reported.

Sólveig Anna voiced her dissatisfaction after a press conference at the Government House on Thursday about an agreement involving the government, municipalities, the Icelandic Confederation of Labour and the employers’ association SA. She and Vilhjálmur Birgisson, head of the Federation of General and Special Workers in Iceland, have criticised what they describe as a “charade” surrounding the agreement.

Sólveig Anna has said the handling of the agreement damaged trust and could affect future relations with the government and SA. “I’m very sorry. We have had extremely important cooperation with both the Federation of General and Special Workers and Efling in these talks,” Daði told Morgunblaðið after a cabinet meeting on Friday.

Daði said many of the measures in the government’s package came from the broad alliance involved in the negotiations, and that the government had sought to address its views. He said he regarded Efling’s involvement in the process as responsible and constructive.

Asked whether further talks were needed to resolve the disagreement, Daði said the government needed to maintain constructive dialogue with the parties to the labour market. If a misunderstanding or the way something was presented had caused distrust, he said, it was the government’s responsibility to address it.

Sólveig Anna had questioned Prime Minister Kristrún Frostadóttir’s remarks about when the proposal on housing-interest benefits was first raised. Daði said it was correct that the idea had emerged earlier in the process. He added that the government had always made clear it would not sign the declaration until the collective bargaining agreements had been settled.

Source 
(via mbl.is)