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Proposal to cut integration spending sent out for comments

Ministry of Economic Affairs and Employment
Publication date 26.9.2024 16.42
Press release

The Integration Act, which will enter into force at the beginning of 2025, would be amended to strengthen general government finances. The amendments would decrease specified government transfers to municipalities and reduce the obligations of municipalities.

The aim of the presentation is to implement the savings target set by the government framework session and budget session.

The central government pays the wellbeing services counties, the municipalities of Åland and the Social Insurance Institution a specified government transfer for the cost of providing social assistance to persons granted international protection and their family members as well as beneficiaries of temporary protection who have a municipality of residence. In future, the cost of providing basic social assistance under the Integration Act would not be reimbursed. The Act would  increase municipalities’ incentives to promote immigrant employment.

Meanwhile, supplementary and preventive social assistance paid by the wellbeing services counties and Åland would be reimbursed for one year instead of current three years.

Imputed specified transfers paid to municipalities and wellbeing services counties to be cut

The central government pays municipalities and wellbeing services counties an imputed specified transfer for organising services promoting integration. Based on the proposal, these imputed specified transfers would be cut by EUR 58 million in 2025.

Because municipalities and wellbeing services counties would receive fewer imputed specified transfers in future, their tasks would be reduced. The responsibility of municipalities and wellbeing services counties to plan, develop and monitor the promotion of integration would be reduced. The obligation of municipalities and wellbeing services counties to draw up a multi-sectoral assessment of skills and service needs related to integration and a multi-sectoral integration plan, and the obligation of municipalities to draw up a family integration plan would be repealed from the Integration Act. 

The Government aims to implement the changes so that they do not weaken the provision of language training, early childhood education and care or education services or employment-promoting services.

Technical corrections would also be made to the Integration Act and the consistency of the Act’s Swedish-language version would be improved.

Comments will be accepted until 24 October

The proposal will be circulated for comments from 26 September to 24 October 2024. Comments can be submitted in the Lausuntopalvelu.fi service. The Swedish-language government proposal will be sent out for comments later. Information on that proposal will be updated at Lausuntopalvelu.fi.

The Government plans to submit its proposal to Parliament in autumn 2024, and the amendments would enter into force on 1 January 2025 when the reformed Integration Act takes effect. The proposal now being circulated for comments replaces the proposal on amending the Integration Act circulated for comments in summer 2024.

Inquiries:
Juha-Pekka Suomi, Chief Specialist, Ministry of Economic Affairs and Employment, tel. +358 295 047 146
Paula Karjalainen, Ministerial Adviser,  Ministry of Economic Affairs and Employment, tel. +358 295 047 117
Timo Kerttula, Special Adviser to the Minister of Transport, Communications and the Interior, [email protected] (requests for interviews with the Minister)