There are more and more elderly people in Northern Norway. And the old also need a place to live. Last year, Husbanken spent NOK 1.6 billion to build or rehabilitate 942 care places in Norwegian municipalities. It was money Husbanken managed on behalf of the Ministry of Health and Care. But in the proposal for the state budget, there appears to be an abrupt end to the benefit in 2023. According to KS, which is the municipal sector’s interest organisation, a cut will have consequences for the service offer in the municipalities. – KS asks that the proposal be reconsidered, says regional director Tom Mikalsen in KS Northern Norway. The municipalities have the allowance in the budget. The cut proposal is also causing a stir politically. – This proposal came like lightning from the blue. The scheme has lived safely since it was established in 2008, says Håkon Møller, who is group leader for the Green Party in Nordland County Council. Håkon Møller, group leader for the Green Party in Nordland county council, believes it hurts the municipalities worse when the subsidy from the housing bank disappears at the same time as the population ages. Photo: Lars-Bjørn Martinsen / news Now he wants the county council in Nordland to demand that the scheme be continued. Many municipalities have precisely counted on the fact that the subsidy for investments will continue in the years to come. For example, Hamarøy municipality has budgeted a subsidy of more than 110 million for the construction of 40 new care homes. In the long term, they will build a new nursing home. – It is quite serious for a small municipality like us. In addition, it is a situation that several municipalities are in, says mayor Britt Kristoffersen (Sp). She points out that there will be a wave of older people. In addition, more and more tasks are being transferred to the municipalities from the specialist health service. – I think it is unethical to remove such subsidy schemes which are supposed to enable the municipalities to meet the challenges and needs that exist. Hamarøy mayor Britt Kristoffersen says they are forced to build the nursing home at one point or another. Without the grant, it means a tougher prioritization. Photo: Andreas Nilsen Trygstad / news – Without the subsidy, we fear that it will, for example, affect the nursery sector. Bodø municipality has budgeted more than 200 million for health centers and care homes in its financial plan. Mayor of Bodø, Ida Pinnerød (Ap), points out that many tasks have been moved from hospitals to municipalities, and that they have therefore received more patients and users with greater needs. Mayor of Bodø, Ida Pinnerød (Ap) points out that Bodø has had very high price growth. At the same time, they must critically review the pace of investment. Photo: Synnøve Sundby Fallmyr – There is no doubt that the subsidy scheme has been important. It means a lot to progress in the development of health and care buildings. Nevertheless, the mayor says that the Norwegian economy is completely dependent on the authorities slowing down public spending, so that Norway curbs inflation and prevents rising interest rates that will affect both the municipalities and ordinary people. – This means that the municipalities must also reduce the rate of investment, says Pinnerød. The Ministry of Health and Care, State Secretary Ellen Moen Rønning-Arnesen (Ap) rejects that the Investment subsidy for all-day care places has been discontinued. – But in common with several other government investment projects, we have not found room to prioritize means for new grants for grants in 2023. - It is positive that the investment grant has contributed to good construction activity in the municipalities, but for 2023 we have not found room for new subsidies, says State Secretary Ellen Moen Rønning-Arnesen. Photo: Ministry of Health and Care The reason is that the government is forced to implement tough priorities in the economic situation Norway and Europe are in now, she says. Rønning-Arnesen underlines that the proposal in the state budget has no impact on the payment of subsidies for all-day care places, which have already been granted. There are 4,750 all-day care places that have not yet been completed as of September 2022. – These will receive subsidies in line with normal proceedings. The regulations still apply. – Where do they think the municipalities will collect this money when they do not receive the allowance they had expected? – The main rule is that municipal tasks must be financed through the discretionary income. I understand that the municipalities will also have to make difficult choices going forward. Making matters worse Håkon Møller in MDG fears that if the cut is adopted, many planned development and rehabilitation projects will have to be postponed or scaled back. The alternative, he believes, is to cancel investments they need in other areas. In any case, he thinks it will be demanding for the municipalities. Håkon Møller, group leader for the Green Party in Nordland county council, believes it hurts the municipalities worse when the subsidy from the housing bank disappears at the same time as the population ages. Photo: Lars-Bjørn Martinsen / news – Many have already shoehorned their investment budgets “to the bone”, says Møller. He believes that the combination of several elderly people and strained finances is already weighing on the municipalities in Nordland. – Demographics and finances are two major challenges for the municipalities going forward, especially in district municipalities with a declining population. Removing the investment subsidy will make matters worse. Now he hopes the county council in Nordland will send a clear signal to the Storting that the subsidy must be continued at the current level. The county council will vote on MDG’s proposal on Wednesday afternoon. More people will live at home State Secretary Ellen Moen Rønning-Arnesen adds that the government is in the process of a reform that will make it safe to live longer at home. – We have asked the Housing Bank to sort out a housing program for the elderly. Then, of course, we must ensure that those who need round-the-clock care services get it. Care services are a municipal responsibility and I have confidence that the municipalities make good judgments about what is best adapted to the offer for their residents and expand capacity where necessary.
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The government will no longer give support to municipalities that invest in new nursing homes in the state budget – news Nordland
