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Government proposes additional funding to address impacts of coronavirus on culture and sport sectors in its second supplementary budget proposal

Ministry of Education and Culture 8.4.2020 15.02 | Published in English on 9.4.2020 at 9.36
Press release

The Government has reached agreement on the second supplementary budget proposal for 2020 and the General Government Fiscal Plan for 2021-2024. The second supplementary budget proposal focuses on the costs caused by the coronavirus epidemic. In the administrative branch of the Ministry of Education and Culture, appropriations are proposed for alleviating the financial distress of actors in the culture and sport sectors, among other things.

Second supplementary budget proposal for 2020

In the second supplementary budget proposal for 2020, the Government has decided on measures that aim to improve the difficult financial situation caused by the coronavirus epidemic in the fields of education and training, culture and sport. The total amount of the proposed appropriations for the administrative branch of the Ministry of Education and Culture is EUR 69.4 million.

Matriculation Examination Board

An increase of EUR 1.1 million is proposed for the operating expenses of the secretariat of the Matriculation Examination Board to cover the costs for the consequences of the coronavirus epidemic on the 2020 matriculation examination. The additional funding will be used to enable candidates to retake exams for free in autumn 2020.

Supporting culture, sport and youth work

The culture, sport and youth work sectors have been hit hard by the effects of the coronavirus epidemic. The Government has decided to respond to the difficult situation with a support package amounting to more than EUR 60 million.

An appropriation increase of over EUR 40 million is proposed for the arts and culture sector due to the loss of ticket revenue and other income as a result of the coronavirus crisis. The additional appropriation would be used to support the activities of actors in the arts and culture sector until 31 May 2020. A total of EUR 19 million would be allocated to professionals in the field of arts and culture, artists, self-employed persons, freelancers and independent groups in the field of arts and culture, cultural events, and other cultural organisations. A total of EUR 3.2 would be allocated to national art institutions and a total of EUR 18 million to theatres, orchestras and museums receiving central government transfers. Furthermore, a total of EUR 1.3 million would be allocated to the Governing Body of Suomenlinna and the Finnish Heritage Agency. 

In order to reduce the impact of the coronavirus, the Government proposes an appropriation increase of EUR 3 million for discretionary government grants for the providers of basic education in the arts other than those receiving central government transfers based on teaching hours. In addition, the Government has decided to compensate for the net losses in liberal adult education and basic education in the arts in the third supplementary budget proposal for 2020.

In order to reduce the impact of the coronavirus in the field of sports and physical activity, an appropriation increase of EUR 19.6 million is proposed for the administrative branch of the Ministry of Education and Culture. The increase makes it possible to award grants for safeguarding sports and other activities organised by clubs and societies, and for ensuring the continued operation of sports training centres.

As a result of the loss of event revenue and other income due to the coronavirus crisis, the Government proposes that an appropriation increase of EUR 2.5 million be allocated for government grants to youth organisations and youth centres. An additional appropriation of EUR 1.5 million is proposed for youth workshop activities and outreach youth work to cover the additional costs caused by the epidemic.

General Government Fiscal Plan for 2021–2024

On Wednesday, the Government also reached agreement on the General Government Fiscal Plan for 2021–2024. In the government spending limits discussion, the Government decided to reserve an additional appropriation of EUR 22 million for extending compulsory education in 2024, when all age groups will be fully within its scope. To be able to respond to the changes in the minimum staffing level for care personnel, an additional EUR 116.5 million is proposed to be allocated for the training of practical nurses in 2021–2024.

The General Government Fiscal Plan also includes deferrable appropriations for the development of continuous learning and competence as well as for improving literacy and other basic skills of people on family leave. The authorisation of the Academy of Finland to grant funding for research on climate change will be increased on a one-off basis, and funding will be allocated to the South-Eastern Finland University of Applied Sciences in Savonlinna for increasing the number of available student places. Capital will be provided to universities in 2020 and 2022 based on a donation by the Finnish Innovation Fund Sitra.

The Government will allocate an additional appropriation to implement a reform of the central government transfers for performing arts. Appropriations are also reserved for the preparation of the new operating model and exhibitions of the National Museum of Finland and for the costs arising from temporary premises for the main stage of the National Opera and Ballet. The Government will allocate funding for the rental costs resulting from changes to the premises of the Sámi Education Institute and for the exhibition activities and furnishing of the Sámi Museum Siida.

In addition, the Government has decided that the 2020 government budget session will consider the future and current use of the central government's gambling revenue within the context of central government revenue and expenditure in general. In 2020, the appropriations required to fully compensate for the decrease in this revenue will be included in the later supplementary budget proposals for 2020.

The third supplementary budget proposal for 2020 will include an appropriation for a broad-based action plan that will take into account the adverse effects of the coronavirus epidemic on the learning outcomes, wellbeing and equality of children and young people.

The Government will submit the second supplementary budget proposal for 2020 to Parliament on Thursday 9 April.

The General Government Fiscal Plan will be approved in a government plenary session on Thursday 16 April.

The amounts mentioned in the press release may be specified later.

Inquiries:
Anita Lehikoinen, Permanent Secretary, tel. +358 2953 30182
Pasi Rentola, Director of Financial Affairs (general financial planning), tel. +358 2953 30211
Mika Tammilehto, Director General (upper secondary education), tel. +358 2953 30308
Tapio Kosunen, Director General (higher education and science), tel. +358 2953 30440
Riitta Kaivosoja, Director General (culture and arts policy), tel. +358 2953 30129
Esko Ranto, Director General (youth and sports), tel. +358 2953 30115

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