Healthcare and social welfare system and responsibilities

Finland’s healthcare and social welfare system is founded on public healthcare and social welfare services funded from tax revenue.

Alongside the public sector, private companies provide health and social services. There are also many healthcare and social welfare organisations in Finland that provide services both free of charge and for a fee.

Guidance

Ministry of Social Affairs and Health

• directs and guides the development and policies of social security and healthcare and social welfare services
• defines the guidelines for healthcare and social welfare policy, prepares key reforms and guides their implementation and coordination
• drafts legislation required to introduce such reforms and guides its implementation
• liaises with political decision-makers.

Research and development

The government agencies and public bodies within the Ministry’s branch of government are responsible for research and development in the branch. The Ministry’s branch of government includes:

• the Finnish Institute for Health and Welfare (THL)
• the Finnish Medicines Agency (Fimea)
• the Radiation and Nuclear Safety Authority (STUK)
• the Finnish Institute of Occupational Health (TTL)
   
• Government agencies and public bodies in the Ministry’s administrative branch

Organisation of health and social services

Wellbeing services counties are responsible for organising healthcare and social welfare services in Finland. 

These services include primary healthcare, specialised healthcare, social welfare, dental healthcare, mental health and substance use services, child welfare, services for persons with disabilities and services for older people.

In addition to the organisation of health and social services, the counties, as a rule, provide these services in their area. 

Municipalities and wellbeing services counties cooperate in promoting health and wellbeing. Private operators, along with organisations and associations, supplement public health and social services.

The counties are also responsible for organising rescue services in Finland.

There are 21 wellbeing services counties, which were established mainly on the basis of the division into regions. The Region of Uusimaa is divided into four wellbeing services counties. The City of Helsinki is responsible for organising health, social and rescue services in its area. HUS Group is responsible for demanding specialised healthcare duties separately provided by law.

Responsibility for organising services was transferred from municipalities and joint municipal authorities to counties at the beginning of 2023.

Licensing and supervision

As of the beginning of 2026, the Finnish Supervisory Agency is responsible for licensing and supervision in the healthcare and social welfare sector. The new agency is responsible for the tasks previously carried out by the National Supervisory Authority for Welfare and Health (Valvira) and the six regional state administrative agencies. 

The agency guides and supervises public and private healthcare and social welfare services and assesses the availability and quality of basic public services in the counties. It also grants operating licences to private service providers in the area.

Furthermore, the agency guides, supervises and manages the administration of licences for the healthcare and social welfare sector, alcohol administration and environmental healthcare.

The Ministry of Social Affairs and Health guides the operation of the agency’s Health and Social Welfare Department.

• Website of the Finnish Supervisory Agency (LVV)

Expenditure and financing of services

Responsibility for organising social and health services was transferred from municipalities to wellbeing services counties and the City of Helsinki in the wellbeing services county reform in 2023. In 2024, the net costs of social and health services organised by wellbeing services counties and the City of Helsinki amounted to approximately EUR 24.6 billion.

The largest expenditure items were:

• specialised healthcare EUR 8.7 billion
• services for older people EUR 5.3 billion
• primary healthcare EUR 4.0 billion
• disability services EUR 2.8 billion

Social and health services in the wellbeing services counties are financed mainly through general government funding. In 2024, state funding amounted to EUR 24.1 billion, which corresponded to approximately 98 per cent of the net costs of the services. Wellbeing services counties do not have taxation rights, but they also receive income from fees and sales. In 2024, such operating income amounted to approximately EUR 3.8 billion.

Most services are produced by public providers. In 2024, wellbeing services counties purchased services from entities other than public bodies for approximately EUR 5.3 billion, which corresponds to about 22 per cent of net costs.

Social expenditure and healthcare expenditure

The EU collects data from its Member States on social expenditure and healthcare expenditure. In addition to the costs of services organised by wellbeing services counties, the statistics also include other social and health-related expenditure.

According to preliminary data, Finland’s social expenditure amounted to EUR 90.9 billion in 2024, corresponding to approximately 33 per cent of gross domestic product. Social expenditure includes, for example, pensions, sickness insurance, unemployment security, child benefits and housing allowance. The largest expenditure item is pensions.

More information on the THL website:

• Social security expenditure and financing – THL

According to preliminary data, Finland’s healthcare expenditure amounted to EUR 25.9 billion in 2022, corresponding to approximately 9.7 per cent of gross domestic product. The expenditure includes, among other things, municipal healthcare services and long-term care as well as sickness insurance and occupational healthcare.

In 2022, 78.6 per cent of healthcare expenditure was publicly financed and 21.4 per cent privately financed.

More information on the THL website:

• Healthcare expenditure and financing – THL