Social Democrats propose tax reforms to benefit families in Sweden

Jimmie Åkesson and Ulf Kristersson are allegedly spending billions on tax cuts for the wealthiest, according to Social Democratic leader Magdalena Andersson, who describes this approach as completely disconnected from reality. The Social Democrats (S) reject the government’s proposal to eliminate the gradual reduction of the earned income tax credit, which primarily benefits high-income earners. Instead, S is presenting an alternative model aimed at being more equitable.

In their shadow budget, the Social Democrats propose an increase in child and student allowances by 200 SEK per month. For a family with two children, this would equate to approximately 5,000 SEK extra annually, costing the government 5.3 billion SEK. The party also advocates for the permanent increase of housing allowances for struggling families with children, as well as a 200 SEK boost in housing allowances for pensioners.

The Social Democrats will unveil their complete shadow budget this Friday.