Finance Minister Purra’s budget proposal faces sharp criticism from Social Democrats leader Lindtman in Finland
In response to Finance Minister Riikka Purra’s budget proposal, Antti Lindtman, the leader of the Social Democrats, did not hold back his criticism. “The entire government concept has suffered a significant shipwreck. There can be no support for this proposal. It was promised that debt accumulation would stop, yet in the first two years, debt will increase by approximately 25 billion euros,” Lindtman stated.
The anticipated deficit for the state budget next year has risen from 10.7 billion euros to 12.2 billion euros. Lindtman pointed out that the government has set records in the amount of debt taken on in its first two years. He further criticized the cuts as unjust, arguing that they protect the wealthy and private healthcare. “The cuts target ordinary Finnish wage earners, small entrepreneurs, families with children, and retirees. Meanwhile, employment is declining, and both debt and poverty are on the rise,” he added.
According to Lindtman, Purra admitted that the government will not meet its target of creating 100,000 new jobs. The total for the 2025 budget proposal is set at 88.1 billion euros, with the aim of reversing state debt by 2027. Some cuts decided during the spring framework discussions are being revised since their intended savings are not being met, while the proposal by the Ministry of Finance includes new compensatory savings of about 100 million euros.
Meanwhile, Antti Kaikkonen, leader of the Centre Party, expressed concern over the government’s economic strategies, stating that they do not bolster growth but instead hinder it. Additionally, he questioned the government’s commitment to the Turku hour train project amid the current economic climate, remarking on its continuation when many citizens and businesses face hardships.
The budget proposal will be published in full tomorrow, and negotiations within the Ministry of Finance are set to guide the government budget meeting in early September, with parliamentary approval expected in December.