Background & Purpose

Sweden is currently in a long-lasting economic downturn. The government aims to stimulate the economy and support households through this period.

Proposals & Debate

The government proposed a budget with 1,542 billion SEK in spending and 1,375 billion SEK in income. The plan includes tax cuts for workers, support for small businesses, and increased funding for defense and schools.

The Decision

The parliament approved the government's budget framework, which includes a 167 billion SEK deficit and a shift from a surplus target to a balance target by 2027.

Does this affect you?

  • Employees: They will benefit from a strengthened job tax credit, meaning more money left in their pockets after taxes.
  • Small business owners: They will face simpler and more favorable tax rules, making it easier to manage their companies.
  • Farmers: They will continue to benefit from a reduced tax on agricultural diesel to keep costs down.

In Practice

  • Increased tax deductions for people who work.
  • Lower taxes on electricity and certain types of gas.
  • Abolished vehicle tax for specific types of trailers starting February 2026.
  • Continued support for Ukraine and increased funding for the Swedish Armed Forces.
  • New tax rules for small business owners to make it easier to run a company.