Draft budget
Draft budget of the Ministry of Finance and its branch of government for 2027
Appropriations totalling EUR 42.5 billion are proposed for the Ministry of Finance and its branch of government. This is EUR 0.7 billion more than in the 2026 Budget. The increase is mainly due to an increase in funding for wellbeing services counties, pensions, interest costs associated with taxes and the EU membership contribution.
The appropriations for the branch of government can be broken down as follows: 64.7 per cent for wellbeing services counties and the HUS Group, 9.8 per cent for municipalities, 14.7 per cent for pensions and compensations paid by the state, 6.9 per cent for contributions to the EU and other international organisations, and 0.8 per cent for payments to Åland. The operating expenditure of the ministry and agencies accounts for 2.4 per cent and VAT expenditure in the branch of government for 0.4 per cent of the appropriations under the main title.
A total of EUR 96.9 million in savings has been allocated to the operating expenses of agencies within the branch of government through productivity programme measures included in the Government Programme and other savings in operating expenditure. This represents an increase of around EUR 38.2 million in operating expenditure savings compared to the 2026 Budget. Of the increase, EUR 14.9 million consists of additional savings included in the Government’s spending limits decision for 2027–2030, while EUR 23.3 million consists of operating expenditure savings included in the Government Programme and in spending limits decisions from previous years.
Taxation and customs
A total of EUR 645 million is proposed for the operating expenses of the Finnish Tax Administration and Customs. This expenditure includes EUR 36 million for the operating expenses of the National Incomes Register and the positive credit register. In addition, EUR 120 million is proposed for interest costs associated with taxes and tax rebates and for the vehicle tax export refund.
Internal services for central government
A total of EUR 61 million is proposed for the services provided to central government. This sum covers the operating expenses of the State Treasury, the Finnish Government Shared Services Centre for Finance and HR, and the Government ICT Centre. Most of the services will be financed by charging fees on a cost price basis. The State Treasury also provides centralised services for central government in areas such as raising finance and consolidated accounting. It is proposed that the maximum investment commitments of the Senate Group enterprises be EUR 1.1 billion. The investments will focus on construction that is necessary for central government tasks, improves indoor conditions, increases the efficiency of premises and safeguards the operating conditions of the authorities. The investment plans also include investment needs in the defence administration related to international agreements.
Statistical services, economic research and register management
A total of EUR 126 million is proposed for statistical services, government economic research and register management. This amount includes EUR 50 million for the operating expenses of Statistics Finland, EUR 5 million for the operating expenses of the VATT Institute for Economic Research and EUR 60 million for the operating expenses of the Digital and Population Data Services Agency. An appropriation of EUR 8 million is proposed for expenditure related to electronic identification. EUR 3 million is proposed to support the use of register data by researchers.
Permits, supervision and service structures
The expenditure consists mainly of the operating expenses of the National Supervisory Authority, which amount to EUR 116 million. In addition, EUR 1.5 million is proposed for the operating expenses of the State Department of Åland.
Central government pension expenditure and compensation
EUR 6.2 billion is proposed for pensions paid by central government and expenses related to these.
Pensions covered by central government pension security will be granted and paid by Keva to those pension recipients who were most recently covered by central government pension security. The central government will transfer the margin to Keva to pay the pensions.
A further EUR 41 million is proposed for indemnities and damages paid by the State Treasury. This amount also includes expenses related to State travel protection.
Funding of wellbeing services counties and basic public services in municipalities
Approximately EUR 27.5 billion is proposed for the universal funding of wellbeing services counties. The index for funding in the wellbeing services counties will rise by 2.63 per cent, which will increase the funding of the wellbeing services counties by EUR 697 million.
The estimated growth in the need for healthcare and social welfare services has been taken into account in the funding of wellbeing services counties, which will increase the funding by EUR 248 million. From 2027, 60 per cent of this growth will be taken into account, which will reduce funding by EUR 61 million.
EUR 3.5 billion is proposed for central government transfers to municipalities for basic public services. The provisional index increase in central government transfers for basic public services is 3.5 per cent, meaning an increase of EUR 117 million in central government transfers. In addition, the central government transfers for basic public services will be increased by the reform of integration services, among others, which will increase the central government transfers by EUR 28 million.
Contributions to the European Union
A total of EUR 2.9 billion is proposed for Finland’s contributions to the European Union. This is EUR 132 million more than in the 2026 Budget.
The year 2027 is the seventh budget year of the EU Multiannual Financial Framework period 2021–2027. The proposed appropriation is based on the European Commission’s proposal on the payment ceiling for the Multiannual Financial Framework in 2027.
The Commission may request that a Member State make additional funds available if the appropriations budgeted for the Union budget are not enough to cover the Union’s cash assets.
A variable appropriation of EUR 10 million is proposed for Finland’s share of the interest expenses of macro-financial assistance to Ukraine.
Consideration of the draft budget to continue in September
The Government will discuss the draft budget during its budget session on 1–2 September. The Ministry of Finance will then finalise the Government’s budget proposal, which will be submitted to Parliament on 21 September. Parliament will then approve the Budget in December.
Inquiries:
Jan Holmberg, Financial Manager, tel. +358 295 530 156, jan.holmberg(at)gov.fi