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helskärm’s economic policy spokesperson Fredrik Olovsson presents new proposals on Tuesday. Photo: Nicklas Thegerström/TT
The state must take over a large part of the municipalities’ debts, so that the municipalities can make long-term investments without raising taxes.
That is what one of the Social Democrats’ working groups for new policy suggests.
S believes that a community lift is needed locally, but does not think that the state is helping enough for the municipalities to be able to cope with new large establishments.
– We want the state to take over a substantial part of the municipal debt, says the party’s economic policy spokesperson Fredrik Olovsson at a press conference.
The municipalities’ debts have increased sharply in recent decades, according to S. It is said to be approximately SEK 200 billion that the state will take over as debt.
– That would make for a better distribution between the municipality and the state. That would mean approximately SEK 20,000 per inhabitant in all the country’s municipalities.
Lower interest rates
One argument for this is that over time the state pays lower interest rates than the municipalities. The government’s borrowing would take place via the National Debt Office, and Olovsson’s assessment is that it would take a few years to transfer the municipalities’ loans.
The working group also proposes targeted support for certain municipalities that are facing large investments. In addition, a state housing company that will build on establishment locations, a national establishment team that will help with large establishments and a strategic “infrastructure pot” to strengthen, among other things, the railway.
Don’t see wastefulness
Olovsson does not believe that the municipalities’ growing debts are due to wastefulness.
– It is an argument that is sometimes claimed, that there are a lot of wasteful municipalities. That is, those who built schools and care for the elderly. That (waste, ed. note) is an extremely small part of the indebtedness that exists here.
S appointed eleven internal working groups after the election loss in 2022. Which proposals will become social democratic policy will be decided at the party’s congress in 2025.