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Region Gotland postpones 2027 budget amid economic strain

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Region Gotland postpones 2027 budget amid economic strain
Key Points
  • Budget preparation postponed to autumn 2026 due to economic strain.
  • Tax revenues declining; state grants cut by 122 million SEK.
  • Interim report shows deficit; committees struggling with budgets.

Fohlin said the decision does not mean ignoring the economy; measures need to be taken now, but long-term decisions should be based on facts that are currently lacking. The economic uncertainty at national and international levels is affecting tax revenues, the region's main income source. Targeted state grants are expected to decrease by 122 million SEK compared to 2025, mainly in healthcare, care, and education.

Personnel and other costs are rising faster than tax revenues, and the April tax forecast shows reduced revenues of about 60 million SEK. The interim report for January–March 2026 shows a result of 21 million SEK, 6 million worse than budget. Several committees are running deficits, especially the technical, social, and health committees.

The full-year forecast indicates a deficit of 44 million SEK, despite a budgeted surplus of 52 million SEK, with a negative budget deviation of 96 million SEK. 4 billion SEK in 2026, but the administration considers 900 million SEK more realistic. Continued measures are needed to find efficiency areas towards a sustainable balanced economy.

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Region Gotland postpones 2027 budget amid economic strain | Reed News