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Local authorities
Local authorities, municipal and county councils are responsible for many important services, from putting out fires to keeping the streets clean and running childcare, schools and health services. The Ministry of Finance is responsible for allocating general grants to local authorities. But many local authorities have difficulty these days making ends meet. While the major cities and university towns are experiencing strong growth, other parts of the country are struggling with high unemployment and weak economies. To level the economic playing field, resources have to be redistributed between different parts of Sweden.
It is also important for local authorities to be economical with their resources. Many municipalities have opted to combine and solve certain tasks jointly in local federations. Upper secondary education and rescue services, for example, are often run by local federations.
The Ministry of Finance is responsible for allocating general grants to local authorities. The Ministry is also in charge of the equalisation system and provides government grants to support measures in municipalities and county councils that face particular difficulties.
The right to self-determination
Sweden has a long tradition of local self-determination. Local authorities are independent bodies, which are free to make their own decisions within certain limits. The Ministry of Finance is responsible for the general legislation applying to different types of local authorities.
The Local Government Act contains provisions on the powers of municipal and county councils, elected officials and decision-making procedures. When local authorities are given new tasks, their right to self-determination must be taken into account. This sort of situation may arise when an area in which local authorities have previously provided services on a voluntary basis, such as libraries, is brought under regulation.
Good decisions based on good information
To be able to make the right decisions, it is important to have access to up-to-date information. The Ministry of Finance monitors and analyses local government developments and the Government delivers an annual report to the Riksdag on trends in the local government sector.
State (central government) administration comprises government agencies under the Riksdag and the Government, and courts of law. Government agencies implement the Riksdag's and the Government's policies and work in most areas of society, from education to defence.
Procurement legislation is intended to facilitate the free movement of goods and services within the European Union. It offers Swedish companies new business opportunities. By using competition between companies, the public sector can create added value for tax revenues.
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