News

Additional amending budget: money for companies, sick pay costs, culture and sport, and new support for events

21 April 2021 klockan 16.39

The Riksdag voted in favour of the Government's proposal on further measures in response to the continued spread of COVID-19. The proposal means that central government expenditure for 2021 will increase by SEK 23.3 billion, and includes the following measures:

  • Redeployment support to companies, redeployment support to sole traders and support to partnerships will be extended until the end of June 2021. Just over SEK 11 billion will be earmarked for this purpose.
  • Compensation under the sickness insurance system to certain risk groups, compensation for the reduction for qualifying days and qualifying days for sole traders, the exempt requirement for a doctor's certificate and compensation from the State for employers' sick pay costs above the normal level will be extended until the end of June 2021. Approximately SEK 6 billion will be earmarked for this purpose.
  • New financial support will be granted for organisers of events, which means that the State will cover part of the financial risk if an event cannot be held or must be greatly limited on account of the COVID-19 pandemic. SEK 3 billion will be earmarked for this purpose. This support requires approval by the European Commission.
  • Increased funding of a total of SEK 2.4 billion in 2021 to cultural and sports activities throughout the country, and to holiday activities for children and young people.
  • The temporary tax and charge exemptions for the benefits of free parking close to the workplace and gifts to employees that applied during part of 2020 will also be extended to apply during 2021.
  • It will be possible to grant a temporary deferral of payment of taxes for more accounting periods and the level of the deferral charge will be reduced.

The Riksdag gave the Government the authority to increase the Public Health Agency of Sweden's borrowing limit by SEK 10 billion to a total of SEK 21 billion so that the Agency can reach further agreements for COVID-19 vaccines. The decision on an increased borrowing limit is the result of a committee initiative from the Committee on Finance, which means that the proposal was introduced in the Committee and was not based on a government bill or a private member's motion.

The Government's additional amending budget means that central government expenditure will rise by a total of SEK 23.3 billion in 2021. Central government revenue is estimated to fall by SEK 3.2 billion in 2021 on account of the continued tax exemptions for the benefits of free parking and gifts and the further extension of the possibility of applying for a deferral on payment of taxes.