The Budget for 2025 in five minutes

To build a more prosperous Sweden, the Government’s growth agenda will also focus on investments in research, infrastructure and electricity supply. To promote food security, measures are being taken to strengthen Swedish food production.

It will take several years before household purchasing power returns to the level it was at prior to the dramatic inflation surge. The Government therefore intends to support the recovery through proposals that strengthen household purchasing power. For more people to be able to support themselves through salaries from work, the Government is taking additional steps to strengthen the work-first principle. With the budget proposals, the Swedish tax burden is expected to be at its lowest level since 1980.

For access to cutting-edge expertise in Sweden to increase, education and expertise need to be more worthwhile. Reduced marginal tax on labour is an important part of this. The Government is also taking measures to ensure that more people can improve their financial resilience through savings, while at the same time counteracting over-indebtedness. It should be more worthwhile to save and less worthwhile to accumulate unsecured debt.

Sweden pursues an ambitious climate policy. We assume our responsibility as an individual country and as part of the EU. Sweden already has among the lowest territorial emissions levels in the EU, and our electricity production is almost entirely fossil-free. Through effective climate policy, the Government is laying the groundwork for reaching the climate goals with a view to completely phasing out fossil fuels. Electrification of industry and the transport sector are at the core of the climate transition. The Government estimates that the overall policy in the budget will result in reduced emissions and in achieving the Effort Sharing Regulation (ESR) commitments by 2030.

Providing good conditions for Sweden’s entrepreneurs is a basic prerequisite for increased growth. A reduced regulatory burden and simplified rules facilitate enterprise for large and small businesses alike, so that they can focus on their core activities. Every krona paid in tax should be used effectively. It is therefore important that central government reviews its administration so that it is effective and fit for purpose, without unnecessary additional costs.

Security has become the great issue of freedom of our time. Organised crime is a serious threat to an open democratic society, the individual’s rights and freedoms, and the underpinnings of our state governed by law. Serious organised crime continues to claim lives, and has now spread from the major cities to smaller towns and from adults to children. Preventive measures are critical to giving every child an honest chance and to detecting risk signals at an early stage.

Russia’s full-scale invasion of Ukraine has fundamentally changed Sweden’s and Europe’s security situation . In light of this, and as a NATO member, Sweden faces a historic total defence decision. In line with the Defence Commission’s proposals, the Government proposes allocating substantial funds to finance the proposals in the defence policy bill that will be presented to the Riksdag in the coming months.

Sweden must continue to be a country with a reliable welfare system. The Government is continuing its efforts to create better conditions for preschools and schools, and to restore a strong knowledge-based school system. The Government is also working to structurally improve health care, through measures such as improved accessibility. To enable measures that safeguard future welfare, benefits must be more fit for purpose and the public sector’s resources used more effectively.

Swedish migration policy is undergoing a paradigm shift, and the Government has a concrete reform agenda aimed at solving a large number of migration-related social problems. The reforms are intended to lead to a responsible and restrictive migration policy, and a better-functioning integration policy. 

Swedish aid policy will continue to be generous. Announcing a new three-year framework for the years 2026–2028 provides greater predictability for development assistance. The levels for the development assistance framework should correspond to the Government’s aid policy priorities and enable continued and substantial support to Ukraine.