Agency warns against more tax cuts

The government has been warned that they are taking too much money from the state coffers to fund tax cuts, and that they might end up without a buffer if there is another recession.

The Swedish Fiscal Policy Council, a government agency set up in 2007 to evaluate the government’s fiscal policy, is worried the tax cuts will have a negative effect unless the government also cuts down on its expenses.

The council also suggests that the government tighten the rules for the state’s finances in order to avoid another financial crisis.

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