(cont. from § 9) Response to interpellations 2025/26:135 and 172 on measures against economic inequality

Samuel Gonzalez Westling (V)

Mr. Speaker! It has been a while, but I was nevertheless astonished by what the Minister for Finance said before the question period. It is not the first time we have heard that the government has lowered the price of fuels. It is also not the first time we have heard just this example of the price reduction on a tank of diesel that the government is assumed to have made.

First and foremost, we must note that cars powered by diesel do not even constitute a third of all vehicles in Sweden. The vast majority still drive petrol cars. The price of fuel has been lowered, but that is primarily due to the fact that the world market price has practically been halved since the peak levels in 2022.

The government's contribution to the reduction corresponds to just over one krona of the reduction in the price per liter of gasoline, according to the government's own figures. For diesel, the effect of the government's measures is admittedly somewhat larger, but it is by no means anywhere near the sums that the Finance Minister says.

Here stands Elisabeth Svantesson and claims that the government has lowered fuel prices by hundreds of kronor. The truth is that of the 10 kronor per liter that the gasoline price has been lowered by, the government's contribution is only one krona. The rest is due to pure external factors.

I do not believe that the Finance Minister is so stupid as to actually believe that the Swedish government has such influence that it can halve the world market price of oil. Either the Finance Minister is lying about the government's influence on fuel prices, or she is trying to claim that she and the government have extremely great influence on Islamist states' pricing of oil.

Mr. Speaker! It is not particularly unusual that the government believes in its own forecasts. But here stands the Minister for Finance, claiming to know what the household economy will look like throughout the entirety of 2026.

Mr. Speaker, excuse me. I checked the calendar this morning. It is January 15th. It is quite bold of the Minister for Finance to comment on the whole year.

The government's cooperation with a far-right nationalist party like the Sweden Democrats has not only made it legitimate. It has also been a catastrophe for Swedish households.

What the Finance Minister says about disposable incomes will probably leave Swedish households astonished. She beats her chest over the fact that disposable incomes have remained stagnant for three years. At the same time, she herself has devoted herself to increasing her own and other extremely wealthy people's disposable incomes through gigantic tax cuts.

What she is actually saying is that it is the ordinary Swedish households that have paid to dampen inflation. That is what she says. The government has not taken any measures at all. Doing nothing is also an action.

This is perhaps best clarified by a concrete example. When the price shock in the grocery store caused single mothers to forgo meals so that their children could be fed, the Finance Minister had a coffee with the food giants.

It could have been done differently and was done differently in other countries. Sweden stands out according to the Riksbank. Both purchasing power and disposable incomes have increased during the same period within the euro area and in the USA.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Edward Riedl (M)

Mr. Speaker! It is noticeable that it is an election year in Sweden. The talking points have been handed out to the different parties. One has to say the same thing over and over again, regardless of whether it is true or not.

Mr. Speaker! Let us take the recipe from the Social Democrats. There, it is now being said that the Moderates are only lowering taxes for the rich. Women have lost out on the Moderates' policy, and the resources for welfare have been eroded.

I want to say to all of you listening to the debate that it sounds powerful and that one is moved. Politics is emotion, a feeling for whether things are right or wrong. It does not sound particularly fun. I can agree with that.

Mr. Speaker! The problem is simply that it is not true. It is not the case that those who have the least have lost out on the Moderates' economic policy. It is precisely the opposite.

When the calculations have been made at the Ministry of Finance and the years in which the Moderates have led the government have been summed up, one can see that it is those with the lowest incomes in Sweden who, in percentage terms, have gained the most from the economic policy that has been pursued. Regarding the difference between men and women, we can also see that it has decreased during these years.

When it comes to welfare and the resources for school, healthcare, and elderly care, we have never had a government that has invested more money than the government that is currently in power. We have never had so many resources.

That is not to say that those with low incomes cannot be struggling financially. That is not to say that economic equality between men and women has been achieved. That is not to say that there are not many things that the welfare state would need to solve and that cannot be solved.

The needs are much greater than the possibilities. But the question is whether what is said from the opposition is true or not. In this case, the government has done better for those with the lowest incomes, for women's finances, and regarding resources for welfare. That is the truth. That is how it looks, Mr. Speaker.

Then I cannot help but comment on what Member Samuel Gonzalez Westling from Vänsterpartiet said here. One speaks about fuel prices. It is another one of the Socialdemokraternas talking points. One says that it is due to the world market price and not because the government has done anything.

Mr. Speaker! The government has essentially taken Sweden from the world's most expensive fuel prices to among the lowest prices in Western Europe. We had the lowest prices for a while, but they are now among the lowest.

Mr. Speaker! What we have done that has affected the price is that we have lowered the taxes. That is correct. It has made it cheaper in total for the person who fuels the car, but also compared to other countries.

We have removed the reduction obligation that the opposition parties want back. That also made a difference of several kronor per liter, and most of all on the diesel.

Since then, something has happened during these years. It is that the Swedish krona has strengthened quite significantly against the US dollar, and oil is traded in dollars. If one pursues an economic policy that weakens the krona for almost a decade, as the left-wing parties did, the oil becomes more expensive and the gasoline and diesel become more expensive at the pump.

Mr. Speaker! The government led by the Moderates has ensured that the Swedish krona has become much stronger. We are conducting an economic policy that increases growth and creates opportunities. It also makes it much cheaper to buy oil, as it is done in dollars.

A small part is, of course, explained by the world market price which has influenced in a positive direction. But what the Social Democrats and the Left Party say here in the rostrum is not correct, Mr. Speaker. I will return with a longer exposition in my next contribution.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Finansministern Elisabeth Svantesson (M)

Mr. Speaker! Thanks to both interpellants for an important question!

These have been some of the toughest years for the Swedish economy and for Swedes' finances in a very long time. When we won the election in 2022 and formed a government, inflation was up at 10 percent. At the same time, Sweden had the absolutely lowest growth in the entire EU.

I am going to ask a very short question. What would have happened if Magdalena Andersson had been Prime Minister during these three years and Nooshi Dadgostar had been Finance Minister? It is easy to see in their budgets what would have happened.

The fuel price, which was very high when we took office due to political decisions with a reduction obligation that made it difficult for people who were struggling, would have continued to rise.

The tax cuts that we have chosen to make would never have been achieved with the other side of politics, where all problems and all great needs are to be solved with tax increases. It could certainly be that the child allowance would have been increased. I do not think that is a problem at all. We have chosen other paths.

Finance Minister Nooshi Dadgostar had not gotten the inflation under control. When one reads the Left Party's budget motions, one sees that there is an incredible pressure, an expansiveness, in the first two budgets during this mandate period. It had led to high inflation.

Let me be very clear. One sits in the Riksdag and claims that inflation had gone down anyway. No, inflation went down because we had a restrained fiscal policy, because the Riksbank did its job, and because the parties – employees and employers – agreed on a longer wage space. This was achieved. But let us not jeopardize this again.

In an economy where prices rise by 10 percent every year, those who work become poorer. In an economy where prices rise as they did in 2022, the single mother who struggles to make ends meet becomes poorer.

We fought inflation, and in addition, we have now lowered the tax on work for people who are struggling. Those who had guaranteed pensions and those who had student loans had their benefits upgraded and indexed with inflation. It was tough nonetheless. But the person who worked would not have received a single krona in tax cuts if Vänsterpartiet and Socialdemokraterna had governed during this mandate period.

I am happy and grateful that we have brought down inflation. I am happy and grateful that we have a majority for lowered taxes for people who work hard. I am happy and grateful that we can lower preschool fees this summer, and I am happy and grateful that we can halve the food VAT. All of that matters for people.

I am also very happy and grateful that we agree to change the dental care support for the elderly. This is happening with Ulf Kristersson as Prime Minister. The ceiling for the housing allowance, which has not been raised since 1997, is now being raised. This is happening with Ulf Kristersson as Prime Minister.

We have begun a path to strengthen people's finances after a tough period over many years, and we will continue on that path. I would like to assert, Mr. Speaker, that the election in eight months will be a referendum on higher or lower taxes.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Eva Lindh (S)

Mr. Speaker! I want to begin by addressing some of the things that have been said here by Member Edward Riedl and the Minister for Finance.

I will start with Member Riedl, and I hope that he listens. Riedl says in the rostrum that the election year has begun, and it absolutely has. He also insinuates that the only thing I have said in the rostrum are speaking points. I think that is a disparagement of my competence. I can read myself, I can write myself and I can think myself. That is what I do when I prepare my debates.

The Minister for Finance asks: What would have happened if Magdalena Andersson had been Prime Minister? One only has to read the budget. We would have lowered taxes for many people, but not for those with the highest incomes. We would have fought inflation, we would have made life easier, and we would have leveled the economic inequalities, which is what we are talking about today. Let me now return to the theme.

Poverty is increasing in Sweden. Twice as many live in poverty today compared to 2021. The increase is due to the economic downturn, the high food prices and the high unemployment, and to the fact that the SD-government has chosen to overcompensate high-income earners but has not done what was needed to achieve equality in Sweden and facilitate things for those who struggle the most.

Income inequalities have increased more here than in other countries. Now Sweden is number six on the list of countries with the highest wealth inequality. The number of billionaires is very large. Debaters from the right side often say that inequality in Sweden is not so serious. But SCB, OECD, Finansinspektionen and Långtidsutredningen say something else. They all point to the same development: The inequalities are increasing. It is about those who own the most getting an ever larger head start while those who own the least and have the lowest incomes lose and have to struggle harder.

When the government chooses to prioritize tax cuts that primarily benefit high-income earners, it is also an active choice for increased inequality. At the same time, we receive reports from municipalities that schools lack resources, that social services are on their knees, and that elderly care is being pressured even harder every year.

This is a core issue, and it affects inequality in Sweden. Should Sweden be a country and a society where we invest in equality and cohesion, or a society where differences are allowed to grow? For me, the answer is simple. When inequality takes hold, as it is allowed to do now, it has consequences in the wallet but also beyond this. It leads to poorer school results, poorer health, more segregation, less trust, and a weaker democracy. That is what we see developing, and it hurts me. That is why I am passionate about doing something about the growing inequality.

I want to answer one of the questions I asked the Minister for Finance myself. Economic inequality also affects society as a whole; it is not good for the economic development in Sweden. At least this is something that the Minister for Finance should devote some time to.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Samuel Gonzalez Westling (V)

Mr. Speaker! The Minister for Finance is trying to hide that Sweden stands out in a negative sense in comparison to both the USA and the rest of Europe when it comes to the development of disposable incomes and purchasing power.

Instead of fighting the food giants' price increases and the property managers' rent hikes, the government has let households pay to bring down inflation by making them poorer in relation to the developments in our neighboring countries.

We in the Left Party oppose such a policy. We want to ensure that rents are kept at reasonable levels and that food prices are lowered. Households should not pay a high price so that Elisabeth Svantesson's tax cuts of hundreds of thousands of kronor for both herself and her rich friends can be implemented.

The Minister for Finance asked a question: What would have happened if the Left Party had been allowed to be involved in the decision-making? What would have happened is that we would have ensured that we had a welfare state that is properly financed. We would have ensured that we had a healthcare system that works when you need it and where those who are in greatest need of healthcare receive the help they need in a timely manner. We would have ensured that we got a school that gives students the education they need so that they are equipped for the future when they enter adult life.

We would have ensured that we did not have the mass unemployment in Sweden that this government has brought about. We have half a million unemployed in Sweden today. The government has no labor market policy, and all it does is slaughter the welfare system and ensure that tens of thousands, if not hundreds of thousands, of people are forced to live on the poverty line. We would have put a stop to that.

We would also have ensured that the food companies and the oligarchy we have in Sweden, which ensures that food prices are kept up, are broken up. We cannot have such a situation in Sweden, but we must ensure that food prices are lowered. We must ensure that we have a market in Sweden. I hope that the Moderaterna will remember the free market, where there is competition and where it is ensured that prices are about demand and supply. In that market, one does not have an oligopoly that keeps food prices up. We would have ensured that all of this was arranged.

We would have ensured the introduction of Swedish prices for electricity so that people living in Sweden would not have had to risk feeling fear before every winter and think: Will electricity prices skyrocket again now? We must not be infected by the high European electricity prices.

None of this would have led to higher inflation, not even that which the government claims regarding expanding the welfare system. Thea Konjunkturinstitutet has already long ago stated that if one invests in welfare, expands the school system, ensures that healthcare functions, and has a dignified elderly care, one has such things that do not affect inflation but which ensure that one improves people's standard of living. This is what Vänsterpartiet would have ensured if we had been allowed to be involved in the decision-making.

Thank goodness it is an election year! In a few months, we will make sure that we replace this government, and then we will get Sweden on the right course again. That is what I believe the Swedish people deserve.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Edward Riedl (M)

Mr. Speaker! It is a bit unexpected, but positive, that the Left Party is talking about the importance of competition. I did not think I would hear that, but it pleases me in many ways. That there is competition is, of course, an important component.

Competition between countries is also important. Therefore, I am more surprised, Mr. Speaker, when the Left Party speaks warmly in favor of Trump's policies in the USA and for the other economies out in Europe and says: Look at them – how well they have done!

Let us look at what the interest rate is in the USA compared to Sweden. In Sweden, the Riksbank now has an interest rate of 1.75 percent. In the USA, it is almost 2 percentage points higher. I want to ask everyone who owns their home if a couple of percentage points higher interest is something one believes would benefit one's own finances. Those who rent are affected with a lag by the high interest rates in a year, according to the rental model we have in Sweden. If you want cheaper housing, you should not pursue the USA's economic policy, which the Left Party now obviously wants us to copy, because it causes interest rates to rise. It seems to be a bad way to keep housing costs down.

I heard nothing more from Vänsterpartiet regarding the price of gasoline and diesel, but let me nevertheless complete the reasoning. I thought that the members from Vänsterpartiet and Socialdemokraterna knew that a relatively small part of the price of gasoline and diesel is made up of the price of oil. It is other things that make up the large parts. This government has basically taken the world's highest fuel prices down to among the lowest in Western Europe. We have lowered taxes and removed the reduction obligation. We have also pursued an economic policy that the rest of the world has confidence in and thereby strengthened the Swedish krona, so that we get more when we trade things from others – oil or other imported goods.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Finansministern Elisabeth Svantesson (M)

Mr. Speaker! I thank both the interpellants again.

This is an issue that affects very many. It affects the vast majority of Swedes. We have had some really tough years, but we see a brightening. We see that the Swedish economy is now heading in the right direction. This year, Mr. Speaker, many of Sweden's inhabitants will experience relief in several ways. For the third year in a row, we are lowering the tax on labor, and that means people will have more money in their wallets. More parents will be able to say yes to their children a bit more often, perhaps when they ask for an extra taco night or would like to go to a hockey match. We are also now ensuring that food prices become lower. The food VAT is halved.

I completely share the view that Samuel Gonzalez Westling has regarding competition in this market. That is precisely why we have given a mandate to the Competition Authority and now also to the food price commission, which monitors the development of food prices daily to ensure that prices are not being secretly and unreasonably raised now before the VAT is to be lowered.

I have no problem with the fact that I was heckled for meeting the food giants one by one in March 2023. Those were serious conversations. Until then, food prices were one of the driving factors for increased inflation. From April onwards, that was no longer the case.

I work every day to do what I can to strengthen the Swedish economy and the economy of the Swedish people. An important thing that one cannot escape, and which Eva Lindh also touched upon, concerns work and strengthening those who have it the hardest and toughest.

The most important thing for me in the subsidy reform we are implementing is that more people should be active. More women who have immigrated here, but also others who have lived here for a long time but have become stuck in exclusion, should be able to enter the labor market. Their children should see their mother go to work. That they see that she has her own income is the most important thing of all.

Now the economy is starting to turn. Vocational training initiatives, language requirements, and activity requirements, which will ensure that one will be out in a completely different way among other people and on the labor market, will make a difference. Step by step, I want to give more women the opportunity to return or perhaps for the first time enter the labor market. It is equality for real, and that is what I intend to continue working on.

Every day, I have people's finances before my eyes. I see to it that I do what I can so that the economy remains stable, which it actually does. We have world-class public finances. We are not like any other country in the EU. I meet and socialize with my red, blue, and green colleagues from different parts of Europe – there I differ from some of the members. The European colleagues are astonished when they see what we can do. We have lowered taxes for three years in a row to make things easier for people. We have a low national debt, which now gives strength to the public investments, which are the highest in the EU during this year. We also see to it that growth now finally becomes one of the strongest in Europe.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Eva Lindh (S)

Mr. Speaker! The Minister for Finance has said that households and welfare have been supported in a difficult time, that during the entire mandate period, the most has been given to those who earn the least, that we are now seeing a brightening, and that other countries are amazed by the developments in Sweden. But I do not believe that it is many of the single mothers who cannot put food on the table for their children who see that brightening.

That is exactly why we have this debate. I think it is deeply unfair when inequality in Sweden is allowed to spread. People who can and want to work do not get jobs, because unemployment in Sweden has increased by 100,000 people during this parliamentary term.

With our Social Democratic policy, nine out of ten would have received more in their wallets. We would have done more to reduce inequality and truly kept in mind that more people need to enter the workforce. This is about putting equality, security, and cohesion before favoring those who have the most. It gives a Sweden that holds together and where trust increases. It is good for the individual people, but it is also good for Swedish development and for the Swedish economy. I will continue to work for this unswervingly.

The speech at riksdagen.se, in Swedish (opens in a new tab)

Samuel Gonzalez Westling (V)

Mr. Speaker! I am still waiting to hear how the Minister for Finance views the fact that the Swedish households have been allowed to pay the price for the high inflation. Regarding the disposable income since 2022 and up until today, there is actually a large difference between Sweden and other comparable countries. In other EU countries and in the USA, there has been a development that has resulted in a larger disposable income. They have had greater consumption room than in Sweden, where it has remained stagnant. It is a fact that it is the case in that way. The only explanation for that is that the government has chosen not to do anything to help the households. I find it distressing.

Regarding fuel prices, I think one should be honest. When they had gone up as much as they did before 2022, halved fuel prices had an incredibly large effect on the actual prices here. It is a fact. The government has also itself noted that it is closer to 1 krona out of 10 of the gasoline price that is an effect of the government's own measures.

But I would be glad if the Minister for Finance could answer the question. We have heard Edward Riedl say it, but can the Minister for Finance also say the same thing?

The speech at riksdagen.se, in Swedish (opens in a new tab)

Finansministern Elisabeth Svantesson (M)

Mr. Speaker! My God, that sounded a bit bitter. But perhaps one is not allowed to say that here in the speaker's chair.

Now that it has finally become significantly cheaper for people to refuel, let me remind the members of the Riksdag what the reduction obligation looked like. It had entered a trajectory that caused us to have some of the highest fuel prices in Europe. We broke that. We received criticism from Vänsterpartiet and many other parties, but it made things easier for people.

With tax cuts and reduced reduction obligations, the price has gone down. Of course, there is a dimension of world market prices. I have never said anything else. But our policy has made a difference.

Then I think it can be good to know what characterizes the Swedish economy in general. Regardless of whether it is Nooshi Dadgostar or I who will be finance minister next mandate period, it is good to understand it.

Sweden is an interest-sensitive economy like no other European country. In Sweden, very many people have high mortgage loans. One has a variable interest rate. While approximately 80 percent of Americans, as has been mentioned, have 30-year fixed terms – the Germans also lie somewhere in that direction – in Sweden, until the high inflation, one has often had variable or quite short fixed terms.

What happens then when you raise the interest rate to bring down inflation, which is the worst thing that can happen for Swedish households? Say that you raise the interest rate from 1 to 5 – it might not sound like that much for those of us who are 50-plus and know that it was very high further back. But if you have a loan of 2, 4, 8, or 10 million, which many young families have, for example, here in Stockholm, it obviously reduces the room for consumption. It is quite obvious. That was, among other things, why it was so important to press down inflation so that interest rates could come down and one could make things easier for people.

Thank you for the debate, dear friends!

The interpellations debate was hereby concluded.

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