Sweden's minister for finance, Anders Borg. File photo: Tomas Oneborg/TT

Borg: Tax hikes will bring more money to schools

Sweden's centre-right coalition government wants to raise the motor vehicle tax by up to SEK 1.5 billion and alcohol and tobacco taxes by SEK 1 billion. The government also plans to raise other taxes and to use the money for schools, Minister for Finance Anders Borg said Saturday.

"There is great need for restoration at schools. This is the part of our public operations that is not working as well as it should," Borg told Swedish Radio News.

Borg added: "We will continue to discuss and negotiate this, but we have, for example, already said that we want 10-year compulsory schooling and of course that will cost because it means you have to offer further training for those who teach preschool classes today and it requires clear and good pedagogic content."

The opposition Social Democrat's economic policy spokesperson, Magdalena Andersson, said that Borg's tax hikes will not come close to compensating for the government's "wasteful tax cuts".

"This is a matter of a few billion, compared to the SEK 35-40 bilion which the Moderate Party decided on just a few months ago," Andersson told news agency TT.

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