Autumn Budget: New focus after defeated inflation

On Thursday morning, Minister of Finance Elisabeth Svantesson (M) submitted the government’s and the Sweden Democrats’ budget proposal for 2025 to the parliament. This year’s budget proposal is 426 pages long and includes investments of over 60 billion SEK.

Out of the 60 billion, 27 billion will go towards reduced taxes for households. According to the Minister of Finance, the investment will lead to more people wanting to work and earn more.

“It’s about investing in jobs and growth but also continuing to build a safer Sweden. We do this at a time when inflation is under control, which feels fantastic,” she said to state television.

In the morning, Svantesson held a press conference where the details of the budget, titled “A budget for a richer and safer Sweden“, were presented. She emphasized that the budget is presented at a time when Sweden is still facing challenges and problems, but also when high inflation has decreased, something that has been prioritized.

As the battle against inflation is seen as won, the government shifts its focus in economic policy to “investing to build a richer and safer Sweden again”.

“The main task of economic policy since the government took office has been to combat inflation. That battle is now won. The task ahead is to ensure that high inflation does not return and at the same time implement reforms and investments that will make Sweden richer and safer for future generations. This budget is an important step towards that,” said Minister of Finance Elisabeth Svantesson.

Although the economic situation has improved, challenges still remain, and the focus is now on strengthening household purchasing power, reinstating the work ethic, and increasing growth. There are also significant investments in defense and the legal system.

Budget

Reduced tax: 26.7 billion SEK (44 percent)

Enhanced job tax deduction: 11 billion

Reduced tax for pensioners: 2.5 billion

Abolished tapering of job tax deduction: 4.7 billion

Reduced tax on ISK savings: 4.4 billion

Reduced gasoline tax: 3.2 billion

Abolished flight tax: 0.9 billion

Welfare: 7.5 billion (twelve percent)

Healthcare: 4.6 billion

School: 2.8 billion

Care: 0.1 billion

Total defense: 8.6 billion (14 percent)

Environment and climate: 1.3 billion (two percent)

Legal system: 3.5 billion (six percent)

Infrastructure (road maintenance): 1.6 billion (three percent)

Research: 1.5 billion (three percent)

Costs for medication: 5.6 billion (nine percent)

Other: about 4 billion (seven percent)