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MSAH budget draft for 2006: to boost services, secure incomes and clarify fun...

Ministry of Social Affairs and Health
16.9.2005 8.00
Press release -

Social spending in Finland in 2006 will be about EUR 43.8 billion, of which about a third will come from the state budget. The MSAH’s share of this is some two thirds, about EUR 11 billion. The sum is EUR 1,234 million, or 12%, more than during the current year.

A major share of the state’s social sector budget is channelled to municipalities to subsidise social and health services. The EUR 4.6 billion subsidy for municipalities is a 9.1% - or EUR 333 million - increase over the current year. The subsidy represents 33.3% of municipal social and healthcare spending for 2006.

The main emphases of next year’s budget spending continue to be the improvement of services. Service reform focuses in particular on two umbrella projects to safeguard and develop the health service and the social service sector. The increase to the state subsidy aims to meet spending needs for these projects.

The 2006 budget will also see changes to the system of funding sickness insurance and social insurance designed to improve financial sustainability. Spending on pensions will increase by EUR 737 million to EUR 2,4 billion, while spending on unemployment is expected to fall with a drop in the rate of joblessness to about 7.5%.

Increased resources will be channelledto the revamping of the offices of the Ombudsman for Equality, in line with the reformed Equality Act, and to the offices of the new Ombudsman for Children. In addition, further resources will be devoted to developing information technology and the expansion of the competences of the National Authority for medico legal Affairs.

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