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Response to interpellation 2022/23:268 on living conditions for individuals with disabilities

28 March 2023 · 7 speeches · M, S

Translated from Swedish by AI; the translation may contain errors. The Swedish text is the original.

Summary AI, written in advance

The debate concerns the living conditions for persons with disabilities who live on sickness and activity compensation during the economic crisis. M argues that the government has taken measures to protect vulnerable households, including by linking the compensations to the price base amount to safeguard them against inflation 1 2 3. M emphasizes the importance of not counteracting monetary policy through an overly expansive budget 2 3 4. S argues that the government is not providing sufficient information and that the levels of the compensations create poverty 5. S criticizes that an investigation into the compensation system was shelved and believes that the government is not taking responsibility for the welfare.

Written by AI in advance and may contain errors. The numbers lead to the speech a statement builds on; check against the text below.

Statsrådet Anna Tenje (M)

Madam Speaker! Jessica Rodén has asked me what measures I intend to take so that people with disabilities who have their only income in the form of sickness and activity compensation can cope with the economic crisis.

Sweden is in a challenging position with a difficult economic situation. High inflation and rising interest rates are putting pressure on households. The government has taken specific measures to protect the most vulnerable households. At the same time, it is important that fiscal policy does not counteract monetary policy in a situation where high inflation can become entrenched.

Sickness compensation and activity compensation are adjusted annually with the price base amount, which follows the price level according to the consumer price index. On 1 January 2023, the price base amount was increased so that full sickness compensation in the form of guarantee compensation for those who have reached the age of 30 increased by 973 kronor per month. Persons who receive income-related sickness compensation or activity compensation receive up to 1,698 kronor more per month. It is an appropriate arrangement that sickness compensation and activity compensation, in accordance with the current regulations, are indexed with the price base amount to compensate for the increased costs.

The Government took responsibility for Sweden, the economy, and households through its budget bill for 2023. Several initiatives were taken to strengthen the households' economy. Among other things, the unemployment benefit and the activity support were maintained at the same higher level that has applied during the ongoing covid-19 pandemic. The temporary supplementary grant to families with children receiving housing allowance has been extended until 30 June 2023, and proposals to further extend and also increase this allowance have recently been referred.

People whose only income is in the form of sickness and activity compensation are a group for which the government intends to closely follow the development in the coming period. These are people who are in a tough situation, and it is particularly these households that the government intends to follow very closely.

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

Jessica Rodén (S)

Madam Speaker! The answer that Minister Anna Tenje gives us here today provides no reassuring news to individuals with disabilities who have sickness and activity compensation as their only income. The message is that the government is following the development for the group who have their only income from the sickness and activity compensation.

With every passing day, the economic situation becomes more and more desperate for more and more people in our country. The economic crisis we are now experiencing is shaking our entire society. The primary reason for poverty among individuals with disabilities is precisely the levels of the sickness and activity compensation. These individuals also have no possibility to influence their income. The guarantee payment is 12,163 kronor before tax if one is over 30 years old. If one is under 30 years old, it is therefore lower.

Madam Speaker! Inflation is creating holes in people's wallets. During the last year, food prices have risen by 22.1 percent, which is the fastest increase since the 50s. This price increase hits people with disabilities extra hard.

Welfare creates security. Therefore, our common welfare is the foundation of a strong society. It is based on a common fundamental idea that everyone gives according to their ability and receives according to their need. The social insurance shall provide economic security during life's different stages. The social insurance therefore includes insurance and benefits for families with children, for the sick, for persons with disabilities and for the elderly.

We Social Democrats are proud of the changes we made to improve the health insurance during the eight years we were in government. We are proud but not satisfied. We want to strengthen the insurance and make it more solidary, just, and equal.

My questions to Minister for Social Insurance Anna Tenje are therefore: What is the Minister's answer to people with sickness and activity compensation who are worried about the rising food prices and the difficult economic situation? Will the government take measures to strengthen the economic situation for people with sickness and activity compensation?

(Applause)

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

Statsrådet Anna Tenje (M)

Madam Speaker! I fully and completely share the member's view that inflation is the greatest enemy of households. Therefore, it is also important to fight the greatest enemy. This means that one must first and foremost fight inflation. A risk that arises if inflation takes hold in our society is that it erodes the households' economy bit by bit. Therefore, it is extremely important to specifically fight the households' greatest enemy, inflation.

In the budget bill for 2023, the government took responsibility for Sweden's economy and households. Several initiatives were taken to strengthen the households' economy. As I mentioned in my previous speech, we maintained the unemployment benefit and the activity support at the same high level that applied during the covid-19 pandemic. The temporary supplement for families with children receiving housing allowance has been extended, and now we have announced that the increased temporary compensation shall be extended further as well as increased. Furthermore, we have referred the proposal.

The government takes the issue very seriously. But at the same time as we need to fight inflation and look out for the households that are having it the toughest right now, we must not drive inflation further. Otherwise, we will end up in a significantly worse situation than we are in today.

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

Jessica Rodén (S)

Madam Speaker! One in four persons with a disability has a low economic standard. The large price increases we see now hit the group extra hard. Among them, it is more common to be unable to pay unexpected expenses. It is also not uncommon to have to forgo holiday trips or leisure activities because one simply cannot afford them. Parents who have adult children with disabilities say that their children do not manage on their compensation, and instead, the parents must chip in money.

As I said in my previous post, I am proud of the changes that the Social Democratic government implemented. I am proud but not satisfied. A special investigator was tasked with reviewing how the system for calculating the compensation works. The overall purpose was to strengthen the economic security for persons who have sickness and activity compensation by ensuring a purposeful calculation of the benefits. But, Madam Speaker, the investigation was shut down in silence two days before Christmas last year.

Several disability organizations have sounded the alarm and argue that people with long-term reduced work capacity and disabilities are forced to become dependent on relatives. Therefore, I wonder what the Minister has to say to those who have such a low economic standard that they must receive financial support from their relatives due to the levels of the sickness and activity compensation?

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

Statsrådet Anna Tenje (M)

Madam Speaker! As I mentioned earlier, inflation hits certain households the hardest. It is therefore most important to make efforts for these households. As I mentioned initially, we are following the developments very closely. We have already announced that the extended supplementary amount for the housing allowance to families with children is now being further extended and also increased because families with children are particularly vulnerable in these economically tough times.

There are, however, definitely also other groups, and we are monitoring that very closely. The groups we are talking about now recently received an increase of 8.7 percent, because we have linked their compensations to the price base amount. It is completely reasonable, and that is how one does it to secure the value of compensations. Previously, inflation has not been as high, and in those cases, the compensations have not been increased at the same rate as now. A common wage earner, in comparison, cannot count on an 8.7 percent increase in wages, which means that the compensation for wage earners in this case becomes lower than it does for, for example, those who at present live on different compensations and benefits. We have chosen to do so in Sweden so that one can be compensated when inflation takes off.

We all know that inflation has now eroded a little more. Therefore, it is important for the government to closely monitor the development of the economic crisis. We must not counteract monetary policy at the same time as we fight inflation. Furthermore, we must not have an overly expansive budget that risks causing Sweden to fall into long-term inflation that takes hold and which, time and again, erodes household finances for a long time to come. That would be truly devastating.

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

Jessica Rodén (S)

Madam Speaker! People's finances affect a number of areas of life, for example health, housing and leisure. It has social consequences if one cannot afford to live like others. In this way, economy can also be seen as a condition for good or bad living conditions.

On the government's website, it can be read, among other things, that the national goal for disability policy is to achieve equality in living conditions. But what is the government doing, Madam Speaker? It is doing nothing. The Prime Minister pretends as if it is raining and says that one simply has to bite the bullet. The Finance Minister urges us to look for lower food prices. Is this the government's message – that one should bite the bullet – to all those who cannot afford to buy food and clothes?

That the government does not act but instead refers to low-priced goods is a sign that one does not understand what it is like to be economically vulnerable. That one lowers the tax for high-income earners instead of investing in welfare shows that the government does not take responsibility. I think it is a betrayal when one shuts down an investigation whose purpose was to strengthen the economic security for people who do not themselves have the opportunity to influence their income.

(Applause)

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

Statsrådet Anna Tenje (M)

Madam Speaker! Let me thank the member for an important and good interpellation. The whole thing shows that inflation is hitting very hard right now. I have great respect and understanding for the fact that many Swedish households are struggling very hard now. Many have to forgo the holiday trip. Many have to think about what they put in the shopping cart. There are definitely many who are waiting before buying new spring clothes. Be so sure!

That is why it is so important to fight inflation. If we do not fight inflation now and it takes hold, we risk ending up in a long-term economic crisis and stagflation.

High inflation and rising interest rates are what pressure households the most. The government has therefore taken special measures to protect the weakest households. At the same time, as I have touched upon, it is very important that this does not counteract monetary policy in a situation where high inflation could become further entrenched.

People whose only income is in the form of sickness and activity compensation are a group among several other groups that are particularly vulnerable and are having a very tough time right now. The Government is following the developments very closely regarding the economic crisis and the particular vulnerability. And we simply have to return later regarding further measures.

The interpellations debate was hereby concluded.

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

Source: The Swedish Parliament. The speeches come from the open data of the Riksdag, translated into English by AI, which may contain errors.