After weeks of one-on-one and full-cabinet negotiations, Prime Minister Alexander Stubb announced a budget agreement on Thursday evening. A message on Stubb's Twitter feed read: ”White smoke. We have a deal. A good budget for Finland.”
Details were unveiled at a press conference on Thursday evening.
Yle has learned that the Finance Minister Antti Rinne’s Social Democratic Party had to back down from its proposal to extend compulsory schooling by two years. Instead schools will be given additional funding. The money earmarked to improve comprehensive schooling was raised from the original 15 million to 50 million euros.
Meanwhile, child subsidies will be cut – but lower-income families will be granted an annual tax credit of 100 euros per child - rather than 50 as initially reported. The credit will be granted for up to four children. Families with a combined annual income of more than 42,000 euros will not be eligible for the tax break.
