Proposal promises more money to cover higher costs for remote areas

4:15 min

Rural areas and municipalities that have received many refugees will get increased compensation for their costs according to a new proposal.

Sweden has long had a system where money is transferred from municipalities with lower costs to those that have higher costs, as a way to ensure equality in communal services. 

But changes over the past decade or so means that the system needs updating, says Håkan Sörman, who has reviewed the current system on behalf of the government.

The study has come up with a set of new criteria that would better take socio-economic challenges into account. Municipalities with more child poverty, lower levels of education among adults, and where more people learn Swedish as a second language, would be compensated for that.

Also, geographical challenges should weigh more when it comes to calculating how much a municipality or region should be getting back from the system, such as longer trips for ambulances or higher costs for recruiting medical staff.