Prime Minister Jyrki Katainen's Government is preparing a reorganisation of the municipalities. Proposals for the reorganisation will be completed in February 2012.

The goal is economically robust municipalities that are able to attend to their duties. This will ensure high-quality municipal services throughout the country as well as stable and sustainable local government finances.

The plan is that the reorganisation of municipalities will also incorporate the restructuring of social and health services. The responsibility for the provision and funding of social welfare and health care services will remain with the municipalities in accordance with the Government Programme.

The municipality must have sufficient resources and skills to steer, manage and develop the service system as a client-responsive entity. The social welfare and health care districts would take responsibility only in exceptional procedure. Five specific catchment areas exist for the common duties of municipalities and social welfare and health care districts.

A Ministry of Finance working group on local government structures will prepare proposals for the reorganisation of municipalities. The aim is to replace the existing framework act with a new legislative act.

MSAH prepares the restructuring of services

As part of the work of the Ministry of Finance working group, the Ministry of Social Affairs and Health is preparing the conditions which each municipality must fulfil to be able to answer for the organisation and financing of services. An act governing the provision, funding, development and supervision of social welfare and health care services will be introduced in order to implement the restructuring of services.

According to the Government Programme, the system of central government transfers to local government will be made simpler and it will provide more incentives to increase the effectiveness of social welfare and health care.

Problems in the multi-channel funding system will be alleviated. The municipal health services and the health insurance system will be coordinated better in order to enable more efficient management of the total expenditure. This matter will be assessed by a working group.

Further information

Päivi Salo, Ministerial Counsellor/Legal Affairs, tel. +358 9 160 74130, forename.surname@stm.fi
Jukka Mattila, Ministerial Counsellor/Health Affairs, tel. +358 9 160 74194, forename.surname@stm.fi
Kari Haavisto, Ministerial Adviser, tel. +358 9 160 74177, forename.surname@stm.fi