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New message from the January holidays
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Photo: Kristian Pohl
When the situation deteriorates now, we do not hesitate to take further action quickly. Therefore, we extend conversion support to companies and sales support to individual merchants throughout the year, write Magdalena Andersson, Rickard Nordin, Mats Persson and Per Bolund.
DEBATE. Since the pandemic broke out, we have implemented historic crisis packages to save Swedish jobs and businesses. But when the situation worsens, we do not hesitate to take further action quickly.
Therefore, we extend business conversion support and individual merchant sales support throughout the year.
The spread of covid-19 has increased considerably during the fall. The situation in Sweden is very serious and several very intrusive restrictions are now being introduced. The increasing spread of the infection is primarily a threat to life and health, but it also has consequences for employment and entrepreneurship.
Although the economic recovery during the fall has been better than expected, it appears to slow down in the future. The situation is particularly difficult for companies in industries that are affected by restrictions to limit the spread of the infection and for people to take responsibility and adapt their behavior.
This applies especially to companies in the restaurant and hospitality sector.
In total, our four parties have submitted measures for over SEK 200 billion in 2020 and SEK 120 billion in 2021, as well as guarantees and liquidity boosters for hundreds of billions of kronor. The measures have been made possible by Sweden’s strong public finances and make a big difference. Through short-term layoffs alone, hundreds of thousands of Swedes have avoided the risk of losing their jobs.
At the same time, we have always been clear that we are closely following developments and are ready to take further action quickly if the situation changes. The pandemic has not only caused a very sharp recession throughout the world economy, but has also meant great uncertainty and unpredictability.
We have already made several important announcements about new financial measures to save Swedish businesses and jobs. Short-term layoffs are extended until June 2021 and the possibility of obtaining a tax deferral is extended for one year. Both Conversion Support for Business and Special Billing Support for Sole Proprietors were expanded to cover the period from August to October 2020.
It will help many businesses, especially smaller ones, get the breathing space they need to get through the winter. General supports that already exist or will be expanded, of course, are also available for activities in culture and sport, and there are also various specific supports for them.
Due to the continued spread of the infection and recent restrictions, which have affected many industries, not least restaurants and the hospitality industry, we see the need to further extend conversion support to businesses and sales support to individual traders. Therefore, we are already announcing an extension to November and December. We will go back to the exact design.
Of course, we will also review the need for greater support for culture and sports and other industries that are particularly affected by the new restrictions.
As the spread of infection increases with tighter restrictions as a result, there is a growing concern not only that loved ones will become seriously ill, but also that a life’s work will be lost or one will lose a job.
No country or politician can promise that no one will be affected. On the other hand, we can do a lot to alleviate the consequences of the crisis and we will continue to do so with today’s message.
Magdalena Andersson, Minister of Finance (S)
Rickard nordin, acting economic-political spokesperson (C)
Mats Persson, economic policy spokesperson (L)
By bolund, Vice Minister of Finance (MP)
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