Article written for the Civic Space Watch by Agapi Antonaki, European Civic Forum, on 26/08/2024.
The Finnish government, led by Prime Minister (PM) Petteri Orpo from Kansallinen Kokoomus (National Coalition Party – NCP), announced austerity measures to address the country’s economic challenges at a press conference on 16 April 2024. Specifically, Orpo announced the government’s plans to address Finland’s increasing debt, while Finance Minister Riikka Purra presented the details of cuts to healthcare, wellbeing services and education. She went on to add that there would not be any budget cuts to the army, police and Border Guard.
Less than a year into Orpo’s government term, the commitment to prioritise the welfare of the disadvantaged and improve mental health services within the Government Programme “A Strong and Caring Finland” seems insubstantial. These measures are impacting Civil Society Organisations (CSOs) and Non-Governmental Organisations (NGOs), particularly those in the fields of peace and mental health. These organisations play a significant role in providing grassroots assistance and complementing public services. The political organisation Centre Women of Kymenlaakso (Kymenlaakson Keskustanaiset) argued that the names “Finland that cares about the strong” or “Finland that cares little” seem more fitting for the government’s programme.
Health and social services organisations will be among the first to see their budget cut. These organisations include, but are not limited to, disability organisations, children’s and family work organisations, and mental health and addiction organisations. Some of these cuts were already known in autumn 2023, before the government presented its budget framework in April 2024. In October 2023, Mieli Mental Health Finland, a renowned mental health NGO, was already facing significant financial strain due to such measures by Orpo’s government, which was took office in June that year. Mieli Mental Health offers a 24-hour Crisis Helpline which provides assistance and support in numerous languages to prevent mental health problems and suicides, coordinates Victim Support Finland nationwide, and co-coordinates Sekasin Kollektiivi, which assists and supports adolescents. Despite increased demand for mental health support in Finland, Mieli expects to lose a quarter of its funding support due to the government’s plan to cut the budget for social and healthcare associations by approximately €130 million by 2027. This has already led to salary cuts for its 184 employees and will potentially lead to eight job cuts.
The government’s austerity plans have raised concerns among social welfare organisations. These plans involve significant cuts to grants, with social welfare groups expected to lose around €130 million out of their annual €400 million funding by 2027. Sari Aalto-Matturi, the Executive Director of Mieli Mental Health Finland, criticised the cuts, highlighting their negative impact to the activities of social and health organisations. “It’s especially sad that the cuts will probably not produce savings, but rather increase societal costs. […] It means an increase in difficult problems, more public social services spending and, in many ways, an increase in society’s problems in general. […] It’s pretty wild if a public authority can start dictating which private sector groups should get donations and which ones shouldn’t. I think it’s frightening if organisations’ activities are based on political values,” she emphasised. She called for a reconsideration of these cuts, stressing the importance of mental health services, especially for vulnerable citizens who rely on them for their mental well-being.
Furthermore, starting in 2025, funding for peace organisations will be halted. This announcement was made abruptly by the Finnish government on 26 April 2024 and refers to the general grants for peace work that are distributed annually through the Ministry of Justice to organisations working in Finland to support peace, social stability and conflict prevention. The Finnish government, led by NCP, has cited concerns about the NGOs impact on national defence and alleged ties to Russia to justify its decision. “In Finland, there have been a large number of different so-called “national defence weakeners”, peace organisations, many of which have had very close relations with the Soviet Union and subsequently with Russia. Now the government is finally abolishing subsidies to these organisations,”1 MP Atte Kaleva (NCP) commented on X. Moreover, MP Tere Sammallahti from the Conservative Party (kok.) argued that “[t]he right wing prefers to put taxpayers’ money into supporting national defence, not eroding it”.2
This decision has been met with disappointment from various peace organisations which rely heavily on grants for their advocacy and day-to-day operations. The Peace Union of Finland — an umbrella organisation consisting of and representing sixteen organisations engaging with peace work — voiced its concern and claimed that the government was using this decision as an opportunity to weaken Finland’s civil society, making it more challenging for them to function. “In 2023, the support was still €219,000, this year €93,000, and we thought that this level of cuts would be enough”3 Laura Lodenius, the Executive Director of the Peace Union of Finland, noted. She also highlighted that their grant for the previous year had already decreased by 60 per cent, leading to cuts of half of their staff, who were reduced to part-time.
In addition, the Peacekeepers’ Association Finland (Suomen Rauhanturvaajaliitto) will lose its general grant, with their Executive Director Ville Mäntysaari hoping that they will receive funding from the government through other means. The decision to cut funding for peace work also raises questions about the government’s priorities during times of conflict, as peace-building efforts should not be neglected. Corinna Tammenmaa, head of the unit for the Ministry of Justice, pointed out that there will be more budget cuts announced regarding NGOs.
Thirteen Finnish peace organisations issued a joint press release on 3 May 2024 strongly condemning the government’s decision to discontinue funding for peace work, seeing it as a contradiction to Finland’s fundamental principles. They argued that cutting funding is a political move to suppress civil society voices, with potentially devastating consequences for peace efforts, democracy and the cooperation of Finnish and European societies. They underlined the importance of civil society in maintaining peace and called for the government to reconsider its decision and cancel the budget cuts.
Corinna Tammenmaa, head of the unit for the Ministry of Justice, pointed out that more budget cuts affecting NGOs will be announced. The austerity package has been criticised by the opposition in the parliament, with some MPs calling a vote of no confidence in the government over its austerity policies, which was unsuccessful.
In a press release on 10 June, Minister for Foreign Trade and Development Ville Tavio (PS) announced the discontinuation of the financial support for Communication and Global Education (VGK) for NGOs. “The reason for the removal of the two million VKG subsidies may be that the current government does not like the content or ideology of the support. This is because there is no administrative or budgetary reason for suspending the aid. There would have been money for this support”,4 Ilmari Nalbantoglu, Director of Advocacy at Fingo, the umbrella organisation for development organisations, commented. Eevamari Laaksonen of the Ministry for Foreign Affairs acknowledged the impact on NGOs but emphasised the goal of enhancing access to international funding. There are concerns that this shift will favour larger organisations better equipped to secure international funds, while support mechanisms for smaller NGOs remain unspecified.
On 8 August, PM Riikka Purra presented the budget proposal for 2025, commenting that the increased social and welfare expenses have played a role in the growing budget deficit of Finland. The government’s proposal also includes cuts to the funding of the Finnish Environment Institute (Syke) and potentially to organisations established under the United Nations. Lastly, PM Petteri Orpo announced an end to the annual funding of €135,000 to the Council for Mass Media in Finland (JSN), Finland’s media self-regulatory body, as part of the austerity measures. The Association of Editors (PTY) emphasised that this decision threatens press freedom. The budget proposal is set to be updated and decided in autumn.