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Preliminary results from municipalities and regions for 2021

Sustained strong result for municipalities and regions in 2021

Statistical news from Statistics Sweden 2022-03-01 8.00

The local government sector (municipalities and regions combined) reported an operational result of SEK 52.1 billion for 2021 – an increase of SEK 0.7 billion from the previous year. The operational result of municipalities increased by SEK 8.4 billion, while regions saw a decrease of SEK 7.7 billion from 2020.

Net operational expenditure amounted to SEK -959.0 billion for 2021 – an increase of SEK 47.2 billion, or 5 percent, from 2020.

Tax revenues, combined with general grants from the central government and economic equalisation, increased by SEK 47.9 billion from 2020. This gave a sustained strong operational result despite a sharp increase in net operational expenditure.

The result after financial items was SEK 14.9 billion higher than in 2020. The net result of the financial items increased by SEK 13.9 billion from the prior year. The net result for the year for the municipal sector was SEK 67.6 billion, an increase of 24 percent from 2020.

Substantial surplus for municipalities

The operational result of municipalities was SEK 38.3 billion for 2021 – an increase of SEK 8.4 billion from 2020. Net operational expenditure increased by SEK 23.3 billion, but was offset by an increase in tax revenues of SEK 28.3 billion and also general government grants and economic equalisation, which rose by a further SEK 3.5 billion in 2021. The main reason for the increase in general grants from the central government and economic equalisation was the increase in the appropriation for economic equalisation for local government in the form of an equalisation grant.

The result after financial items increased by SEK 12.3 billion compared with 2020. Financial revenues increased by SEK 3.6 billion and financial expenditure fell by 0.2 billion, giving a net effect of SEK 3.8 billion compared with the previous year.

At the time of publication, two municipalities are missing (Trosa and Bjurholm). 2.8 percent of responding municipalities reported a negative operational result for 2021. This is fewer than the year before, when 6.9 percent of municipalities reported a negative operational result.

Income statement of municipalities 2019–2021, SEK billions
  2019 2020 2021
Operational revenues 160.1 165.6 167.6
Operational expenditures ‑710.6 ‑720.4 ‑743.9
Depreciation and impairment ‑26.1 ‑28.7 ‑30.6
Net operational expenditures ‑576.7 ‑583.5 ‑606.8
Tax revenues 482.5 486.1 514.4
Economic equalisation and general grants from central government 101.3 127.3 130.8
Net operational income (surplus) 7.1 29.9 38.3
Financial revenues 15.9 12.5 16.1
Financial expenditures ‑6.1 ‑7.2 ‑7.0
Income statement before extraordinary items 16.9 35.1 47.4
Extraordinary items 1.8 0.1 ‑1.5
Net income (surplus) 18.6 35.2 45.9

In the table, the Region of Gotland is included to 65 percent.

Increased expenditure affects the regions’ results

The operational result of regions was SEK 13.8 billion for 2021, which is SEK 7.7 billion lower than in 2020. The decrease is attributable to an increase in net expenditure. Tax revenues were SEK 289.7 billion in 2021, which was an increase of 6 percent from the previous year. General grants from the central government and economic equalisation were at the same level as in 2020.

Operational revenues increased by 13 percent, from SEK 89.3 billion in 2020 to SEK 100.7 billion in 2021. Operational expenditure increased by SEK 33.0 billion, which is an increase of 8 percent from 2020.

Despite a lower operational result, the regions posted a sustained strong result after financial items of SEK 21.8 billion, which was SEK 2.6 billion higher than in 2020. Financial revenues increased by SEK 8.2 billion, while financial expenditure fell by SEK 1.9 billion, giving a net effect of SEK 10.1 billion compared with the previous year.

9.5 percent of the regions reported a negative operational result for 2021.

Income statement of regions 2019–2021, SEK billions
  2019 2020 2021
Operational revenues 71.3 89.3 100.7
Operational expenditures ‑385.5 ‑404.4 ‑437.4
Depreciation and impairment ‑12.3 ‑13.2 ‑15.5
Net operational expenditures ‑326.4 ‑328.3 ‑352.2
Tax revenues 270.2 273.7 289.7
Economic equalisation and general grants from central government 61.5 76.1 76.2
Net operational income (surplus) 5.3 21.5 13.8
Financial revenues 9.9 5.1 13.3
Financial expenditures ‑6.3 ‑7.3 ‑5.4
Income statement before extraordinary items 8.9 19.2 21.8
Extraordinary items 0.0 0.0 0.0
Net income (surplus) 8.9 19.2 21.8

In the table, the Region of Gotland is included to 35 percent.

Definitions and explanations

Region Gotland are responsible for municipal tasks and region tasks. This means that it is very difficult to compare data for the income statement and balance sheet for Region Gotland with other municipalities and regions in Sweden. Statistics Sweden has, in an attempt to comparability, estimated that 65 percent of their total activity concerns municipal activities, while 35 percent concerns region activities. Statistic Sweden will however point out that this is an estimation and that comparisons with other municipalities and regions should be made with caution. 

The present figures are preliminary and can be revised.

Extraordinary items refer to income and expenditures that do not originate from regular activities. Income before extraordinary items is not always comparable, since what is considered as extraordinary can differ.

The figures are in current prices.

Next publishing will be

The next publication date is March 15 2022 08:00.

Feel free to use the facts from this statistical news but remember to state Source: Statistics Sweden.

Statistical agency

Statistics Sweden

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