Lapland among healthcare regions to face bleak financial outlook
Over half of the country’s regional healthcare authorities revised their financial reports for 2024 to reflect increased budget deficits.
Finland’s regional healthcare authorities — also known as wellbeing services counties — are on course to report significantly higher losses for the fiscal year 2024 than previously estimated, according to calculations provided to Yle by the Ministry of Finance.
Figures submitted by the regional authorities to the ministry in April set the combined total losses for this year at some 860 million euros.
However, according to the revised figures, the budget deficit for 2024 will be around 1.25 billion euros — an increase of about 400 million euros on the original estimate.
A further revision of the figures is expected later this month.
Based on the latest data, over half of the regional authorities estimate that they will make larger losses than expected this year.
The wellbeing services county of Southwest Finland, for example, had previously reported a loss of 85 million euros this year — but this has nearly doubled to 160 million euros. The regions of North Savo, Lapland, Pirkanmaa and Central Finland are also on course to see large-scale budget deficits this year.
In addition, the City of Helsinki — which provides health and social services in the capital region — currently predicts that its budget deficit will be seven-fold higher than previously estimated, up from 5 million to 35 million euros.
Only five regions managed to lower their deficit estimates.
In 2023, the combined losses exceeded 1.3 billion euros. The wellbeing services counties are obligated to cover all budget deficits for this year and last year by 2026.
In addition, the government has set a target of 2025 for all welfare services counties to balance their books, as additional funding of about 1.5 billion euros will be provided.
However, if the healthcare and social services sectors remain heavily in the red next year, the government may look to either borrow more money to cover the deficit or introduce further spending cuts.
Related stories from around the North:
Canada: Feds pledge nearly $86 million to improve Yukon health care, CBC News
Greenland: Drones in Arctic health care? Greenland pilot project now underway, Eye on the Arctic
United States: Indigenous students in Alaska get hands-on medical experience at nursing camp, Alaska Public Media
