Response to interpellation 2024/25:655 on the role of state-owned companies for increased growth

Finansministern Elisabeth Svantesson (M)

Mr. Speaker! Peder Björk has asked me if I intend to take the initiative for changed or new assignments for state-owned companies so that they shall contribute to taking Sweden out of the economic crisis and how I view precisely the state-owned companies' role for Swedish growth.

State ownership in Sweden has been established at different times and for different reasons. The starting point is that state ownership is justified by a national or market-specific interest. A national interest can be that the state has a need for or sees a value in owning companies with assets of strategic interest. A market-specific interest can be that the state owns companies that are natural monopolies or that operate in markets characterized by a market failure. It can also be a matter of the Riksdag having decided on a social mission that is difficult to manage without state influence, which justifies a state-owned company.

The Government has the mandate from the Riksdag to actively manage the state-owned companies so that the long-term economic value development becomes the best possible and the social missions decided by the Riksdag are well performed. The Government decided in February this year on a new ownership policy for companies with state ownership, where an important principle is that the companies act commercially. The Government therefore expects the companies to act commercially, sustainably and exemplarily. The companies are expected to adapt to the conditions prevailing in society and contribute to economic growth by focusing on long-term value creation. Through such actions, the companies contribute to both Swedish growth and Swedish competitiveness.

In the state's role as an active owner of the state-owned companies, it is included to continuously examine the reasons for continued state ownership as well as the companies' various missions and directions. I see no need at this moment to give changed or new missions.

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Peder Björk (S)

Mr. Speaker! Let us be honest: Sweden's economy has been and continues to be doing very poorly. I submitted this interpellation already at the beginning of May this year. The situation has not improved, rather the opposite. We are now in the bottom tier in the EU when it comes to growth, and unemployment is among the highest in Europe. During this parliamentary term, the number of unemployed in Sweden has increased by 100,000 people. Furthermore, the number of bankruptcies has increased dramatically among construction companies, small businesses, and industrial companies. Investment plans are freezing.

This is the reality in Sweden in the autumn of 2025. Sweden is standing still while our neighboring countries show the way and lead the way.

These are not just numbers. It is about families with children and households where one or both lose their jobs, and households that have seen their incomes eaten up by the high prices. Ten years of real wage increases have been erased. Ordinary households have found it increasingly difficult to make ends meet.

The SD-government has so far done very little to help those who have had it toughest and instead focused on tax cuts for those with the very highest incomes. Now, after three years, the Finance Minister has presented a budget of 80 billion kronor without showing how it can turn the development around. The government completely lacks a plan for growth in Sweden, for how the jobs will become more, and for how Sweden will get itself out of Europe's bottom position.

Mr. Speaker! In this situation, it is not enough to say that the state-owned companies should act commercially. State-owned companies can actually be a tool to increase investments, drive innovation, and create new jobs across the entire country. If the Minister for Finance does not see the need for new or changed mandates for the state-owned companies now, when growth is stagnant, bankruptcies are increasing, and households are on their knees, when will the government then act?

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Eva Lindh (S)

Mr. Speaker! Sweden is in one of the most difficult economic periods in decades. As the Finance Minister himself has said, the recession is biting – because the SD government has let the recession bite. That is actually what it is about. Inflation has been managed, or at least work has been done to lower it – that is good. But at the same time, we had a recession that people have not done enough to manage.

We now see how Sweden has placed itself at the bottom of Europe's statistics when it comes to growth. We have Europe's second highest unemployment; over half a million people are without work. Companies are going bankrupt, industrial investments are being pushed into the future, and households have seen ten years of real wage increases erased.

Now we are in a situation where very many people are truly experiencing how the recession feels right in the marrow. At the same time, a group in Sweden looks around and doesn't quite understand, because they have not been hit by the recession in the same way. They have continued to receive tax cut after tax cut, thousands of kronor every month. They may have seen that the coffee or the tomatoes have become more expensive in the shops, but they have received more money in their wallets and have not felt how it chafes in the marrow.

Perhaps that is why this government has missed the most obvious lessons when it comes to tackling the recession – to do everything within a government's power to turn the economy around and get growth started. We know, of course, that equality, a more equal society, is not just good and feels good in the heart, but is actually also good for the economy.

If more people can afford more, the economy will also get moving. That things have gone so poorly for Sweden is largely due to the fact that ordinary people cannot afford to consume. The Finance Minister himself has also said this at a press conference.

How is this then connected to the question of state-owned companies? Well, it is about a desire to do everything in one's power to manage the recession and get growth started.

I also want to bring up welfare, which is one of the most important things when it comes to getting growth started in a recession. Despite this, what has been needed has not been done. The Swedish welfare society, which we have been so proud of, is now cracking at its core.

What can the Minister for Finance then imagine doing with the state-owned companies that she can control in order to, as Peder Björk says, both give new assignments and create jobs throughout the country?

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Finansministern Elisabeth Svantesson (M)

Mr. Speaker! Thank you, Peder Björk, for this interpellation! It touches on two important issues. It touches on growth, and it touches on how we manage and develop the operations in the state-owned companies, which we own together.

The last five or six years have been testing, with both war in our vicinity and high energy prices. There was a pandemic shortly before that also contributed to pushing up prices. When we took office in the autumn of 2022, we inherited an inflation of 10 percent, low growth, and high unemployment.

I share the view that the situation in the Swedish economy is currently tough in macroeconomic terms: The economic cycle is protracted and far too sluggish. This is naturally due to several things. One reason is that Swedish households are more highly leveraged and more interest-sensitive than other households in the world, with short interest rate binding periods. Suddenly, households saw their mortgage costs go from decent levels to consuming large parts of the consumption space. Very many who were already tight and struggling have now found it even tougher as prices are higher. It was precisely for that reason, Mr. Speaker, that it was so important to press down inflation.

We four parties with a majority in the Riksdag could be restrained even though the economy was difficult and perhaps might have needed a boost. We supported the households. Even more important in the beginning were perhaps also the investments we made in welfare, because pension costs skyrocketed.

Now that inflation has been fought, municipalities and regions have, just this year, 50 billion less in pension costs. I am glad that we have succeeded with this.

We saw a recovery at the end of last year. It was pleasing. But then Donald Trump entered the arena. And what does he do? Well, he creates an incredible amount of unpredictability and uncertainty with his announcements about tariffs. Just as Eva Lindh says, some households are cautious because they cannot, while others are cautious because they do not know what is going to happen.

You have heard me speak about this many times since I got this job. Growth and how we can kickstart growth in the short and long term are very important issues for me. I am also pleased that I am now, for the first time in many years, hearing the Social Democrats talk about growth.

What we are doing step by step and now in the budget is to provide an energy injection. Previously, we have lowered taxes on work, almost halved fuel prices, and done much to support households. But this here is an injection. Why? Yes, because it is only this that can break the recession.

The Riksbank obviously makes the assessment that more expansiveness is also needed – we are expansive – so that households can feel confidence and security. Sweden stands on a fundamentally stable economic and political foundation, and we have good chances ahead.

The interpellation is, after all, about state-owned companies. I can return to growth in the next contribution. Many of these companies are fantastic, and they contribute to growth. Svenska Vattenfall is currently contributing to the largest investments in a very long time. One should be careful about calling it "historic," as one might receive criticism for that, but it is, therefore, a very large investment in nuclear power. There will be very many people working at Ringhals for several years to come. It concerns thousands of people. Large investments are being made so that Swedish companies will have enough clean electricity in the future and so that we can continue our journey with the green transition. This is one example of many.

Mr. Speaker! Taken as a whole, the state-owned companies have over 120,000 employees. The value of the portfolio, that is, their combined value, is over 800 billion. They contribute. This fact that we have clear return requirements, that the companies shall create value, is precisely about growth. They shall participate and contribute to the Swedish economy, which they do. It is clear that several of them can do it better. But no is the short answer to the question of whether I have thought of changing the mandates now.

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Peder Björk (S)

Mr. Speaker! The Minister for Finance does not need to be worried about receiving criticism if the government actually makes investments and large-scale investments. The fact is, however, that it is precisely this that is not being done. One stands and treads in the same place all the time without taking in what is happening and taking active measures to reverse the development.

It is enough to look at the countries in our vicinity. They have also been very much affected by Trump's tariffs, but there the growth is much better than in Sweden. There, unemployment does not look as bad as in Sweden.

Ducking and hiding behind an international economic situation does not work. The countries around us have shown that if you have an active policy, you can change the situation and create higher growth than what we are currently achieving in Sweden. One can also push back unemployment. It is not enough to hide behind the global situation.

Mr. Speaker! I listened to the radio this morning, where the Minister for Finance, with all justification, criticized the banks for not doing more to lower interest rates now that the Riksbank has actually lowered its rate. What struck me was that we actually have a state-owned company, a state bank. What if the Minister for Finance, instead of sitting in the media and criticizing the banks somewhat vaguely, were active as Minister for Finance and considered how one can use the own state bank to create change? Then we can make a real difference with the tools that actually exist at the state's disposal.

It might not make a huge difference, but it could have made an important difference. It would have been a signal that the government takes this seriously and is prepared to use all the tools in the toolbox to pull Sweden out of the mire when it comes to growth in Europe and push back unemployment.

Mr. Speaker! The state-owned companies have played an absolutely decisive role in Sweden's development throughout history. When the market has failed to deliver, the state has stepped in. We have built out the infrastructure. We have secured important industries. We have ensured that the entire country develops with the help of the state-owned companies.

Right now, we are in the middle of the green transition. But investments in climate-smart energy and the transport of the future are being postponed and even actively opposed by the Tidöregeringen. Instead of taking a step forward and creating growth, Sweden risks falling behind, not only in relation to our own ambitions but also compared to our neighboring countries.

Mr. Speaker! The question remains: Why does the government choose to lean back passively instead of giving the state-owned companies new and active mandates to take Sweden out of the crisis and simultaneously create growth?

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Eva Lindh (S)

Mr. Speaker! An active policy for growth is not symbolic politics. It is about creating long-term conditions for work, investments, and security. I feel frustrated that I am not getting answers. Has the Minister for Finance at least considered whether one could do more when it comes to using the state-owned companies to create more growth? We know that the state-owned companies can do a lot.

Right now we see that important industrial initiatives risk freezing. There, the state can actually step in and act. Unemployment is sky-high. And when it is much worse than in many comparable countries regarding both unemployment and growth, it cannot just be about how the economic situation looks outside Sweden. It is about how we use the tools we have. It is about using politics to build Sweden stronger. Therefore, this question is relevant. How can state-owned companies be used when it comes to contributing to growth?

My question is: Has the Minister for Finance considered whether there are other possibilities to use the state-owned companies when it comes to contributing to more positive growth and to building a stronger economy? We know that it matters for all of us, for the welfare, and for everything that we want to do with Sweden. It is about building Sweden stronger.

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Finansministern Elisabeth Svantesson (M)

Mr. Speaker! Thanks to both the interpellor and Eva Lindh for this discussion! It is important.

I can tell you, Mr. Speaker, what it was like when I took responsibility for the state-owned companies. I believe I am the first Finance Minister ever to have that. At that time, it was very clear to me that it was a fantastic portfolio of great value that the state manages and develops. But I also felt that they had become a bit forgotten. That was why we initiated a piece of work concerning ownership policy and clarifying the requirements and the mission. We also did that to make the state-owned companies more alert. Sometimes I like to say: That everyone owns a company does not mean that no one owns. A CEO, a chairman, and a board must therefore be aware that they are to manage on behalf of the entire Swedish people.

We developed a new ownership policy – that is exactly what we have done – which focuses on value creation and on what the interpellor is also touching upon.

Furthermore, it is already the case today that LKAB, for example, means an enormous amount for Sweden. They contribute enormous values – they are also a large taxpayer – and with their ore to SSAB. That is one example. And Vattenfall is, as I said, one of Europe's largest energy companies.

When managing the companies, one must of course ensure that they make business decisions but also be clear in the governance. We have been clear that the Swedish state, the government, wants nuclear power.

What is happening now, I mean, is precisely what the interpellator is requesting. Furthermore, the interpellator is a Social Democrat in opposition and I am a Moderate Finance Minister. Therefore, we can absolutely have different ways of looking at this.

I am absolutely not blaming the outside world. It is not only I who describes the global economy this way: When Trump entered the scene, it created a great deal of uncertainty.

The difference, I believe, when it comes to Swedes is that many Swedes have invested and saved – ISK and pension savings – more than has been done in many other countries. This makes one very worried when these messages arrive. I am not alone in thinking this.

I am very happy that we, who have one of the absolutely strongest public finances in the world, can now use that strength to break the recession and strengthen households in various ways. It is reduced tax on work for the third year in a row, reduced tax on pension, lower preschool fees, halved food VAT from April 1st next year until the end of December 2027, and so on. It makes a difference. And we have been active throughout this entire time.

May I just come back to the long-term growth. I will also say something briefly about the short-term. Yes, it is quite clear that several countries in the EU now have higher growth than Sweden. But unfortunately, there are also those who are having it extremely tough, and that is a problem. Germany has had zero growth for several years. We are also dependent on the outside world. All Social Democrats in the chamber know that we are. But we in the Swedish government shall do what we can to get the economy moving now but above all also in the long term. I appreciate that approach.

I now have 45 seconds left of my speaking time. Then I thought I would please the members by telling about some of the things that we have done and are doing. We are making the largest investment in research and innovation ever, and we are making historic investments in infrastructure. In the bill that we have submitted, we address the entire maintenance debt on the road, and we do what is possible on the railway according to Trafikverket. We have made tax changes that make it easier to run companies. We make it more profitable to educate oneself and to work. We implement regulatory simplifications. We make it easier to start and run companies. We have raised the turnover limit for VAT. We have abolished the receipt hassle. We are investigating the removal of the food requirement. We temporarily lower the employer contribution for young people and introduce new 3:12 rules, which means lower tax for approximately 60,000 small-scale companies.

You might have thought it went quickly now. That is because my speaking time is over. This was only half the list anyway. I will return, Mr. Speaker.

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Peder Björk (S)

Mr. Speaker! It is quite telling that the Minister for Finance chooses to talk about everything except how one can use the state-owned companies to create growth. From the government's side, there is no idea of how one can use the state-owned companies. But I share an opinion that the Minister for Finance has, and that is that we have many very good and well-managed state-owned companies. Precisely for that reason, one could use the state-owned companies more actively to create growth and lower unemployment, but we have heard here in the chamber that the Minister for Finance is not interested in that. It is surprising now when we actually see that household finances are being eroded, jobs are disappearing, and investments are missing. It is precisely now that the state should act.

Mr. Speaker! If it is indeed the case that the state-owned companies, according to the government, cannot be used more actively to create growth, the government should at least, in its budget which was presented earlier this week, have had many proposals on how to create growth in both the short and long term.

Mr. Speaker! I heard nothing of that in the listing of measures. There are actually no effective measures to create growth. No, lowered taxes are not the solution to everything. We need to use more tools to turn the development around.

Mr. Speaker! To, as the government does, stand passive in the midst of an economic crisis is not responsible. No, Sweden needs a new direction in order to create growth, create jobs and, above all, Mr. Speaker, give people faith in the future.

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Finansministern Elisabeth Svantesson (M)

Mr. Speaker! I understand that it is difficult for many Social Democrats to sit in the stands and sometimes grumble or just be generally weary and hope that they will win the election. I understand that it is difficult not to be in the match.

I only mentioned a few things of all that we do to focus on both long-term and short-term growth. Right now, it is also about breaking the recession, which is prolonged, and strengthening households so that they gain confidence in the future.

It is enormous investments, Mr. Speaker. We must not underestimate them. Everything I mentioned regarding infrastructure, research, and energy systems is important. But also think of the investments that we are making together in defense right now.

The investments, together with the prison places that are now being built, will lead to many more job opportunities in Sweden, which will change the Swedish economy and labor market. These are enormously large projects that will also affect growth, and it takes time. We may not have thought about that type of public investment previously, because we have also had other needs. Now the needs are many in many places, and we are making enormous investments. This will affect growth. Next year we expect a growth of just over 3 percent, and parts of that are about the effects of the budget. That is how forecasters do it and of course also our officials at the Ministry of Finance.

I fully understand that the Social Democrats do not agree with me, but I believe it can be good to see what is being done and say it as it is: We are active, and large investments are being made.

I go to work early in the morning every day with Sweden's best for the eyes, both for those who live here and now and for future generations. Step by step, we are doing what should have been done a long time ago. And to say something briefly regarding growth: It is also about taxes. It is also about enabling and facilitating for people to consume.

I can remind you here and those of you watching the debate that here in Stockholm, the Social Democrats' shop window, taxes have been raised for two consecutive years for completely ordinary people. Still, the quality does not become particularly much better.

We do somewhat the opposite.

Have a nice weekend!

The interpellations debate was hereby concluded.

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