Helsinki’s 2027 budget proposal aims to limit public transport fare increases, strengthen schools and expand access to healthcare while keeping municipal tax rates unchanged. Presented by Mayor Daniel Sazonov on Monday, 19 October, the proposal also sets out more than EUR 1.2 billion in planned investments and forecasts a budget surplus of EUR 25 million.
One of the main proposals concerns public transport fares. Helsinki wants ticket prices set by Helsinki Regional Transport (HSL) to rise by 1.8% in 2027, below the 3.1% increase outlined in an earlier proposal. HSL’s board is expected to decide on next year’s fares later in the autumn. The city’s proposed allocation for public transport stands at EUR 470 million, an increase of 14.7% compared with 2026.
Education is another major priority, with proposed spending rising by 4.4% to approximately EUR 1.78 billion. The additional funding would support literacy, improve classroom resources and strengthen primary education. Helsinki plans to reduce the calculated class size in the first years of primary school from 20 pupils to 18, increase mother-tongue instruction and direct more resources to schools according to their individual needs.
The proposal also includes funding to provide every school with at least a basic library collection and to increase spending on printed learning materials. The measures are intended to strengthen pupils’ reading skills and improve access to educational resources across the city.
“In next year’s budget, we are investing particularly in children and young people,” Sazonov said in a city statement.
Healthcare services would also receive additional resources. The proposal provides funding for 25 more doctors and 13 nurses, in addition to 52 doctor positions and 71 nursing positions approved earlier. Helsinki aims to ensure that residents can access primary healthcare appointments within 14 days.
The city also plans to test a healthcare model involving 10 self-employed family doctors and 10 designated nurses. The pilot is intended to explore another way of organising primary care, although the proposal does not specify how the model would affect access to appointments across the city.
Healthcare, social services and rescue operations would receive approximately EUR 3.45 billion in operating expenditure, representing an increase of 4.8%. The allocation reflects the scale of the services the city must fund as it seeks to improve access to care while maintaining other municipal services.
Beyond schools and healthcare, Helsinki plans to support community activities through grants for 1,000 neighbourhood events in 2027 and 2028. The programme is intended to help residents organise activities in their own neighbourhoods and encourage local participation.
Residents would not face an increase in Helsinki’s municipal income tax rate under the proposal. The rate would remain at 5.3%, while property tax rates would also stay unchanged. The decision would maintain the existing tax rates as the city plans higher spending across several public services.
The municipal services budget forecasts EUR 3.62 billion in external expenditure, approximately EUR 2 billion in tax revenue and EUR 510 million in central government transfers. These figures outline the main sources of funding and spending pressures facing the city as it prepares for the next financial year.
Helsinki and its city-owned transport company are planning combined investments of EUR 1.242 billion in infrastructure and public facilities. The projects include the Jätkäsaari sports centre, the Kruunuvuori service complex, a school and library in Pitäjänmäki, and the Myllypuro health and wellbeing centre.
Transport infrastructure will also account for a significant share of investment. Planned projects include replacing the Junatie metro bridge, renovating Rautatientori metro station, constructing the Koskela tram depot and developing the western tram network. These projects form part of the city’s broader investment programme for public transport and urban infrastructure.
Despite the forecast operating surplus, Helsinki expects cash flow from operations and investments to show a deficit of EUR 786 million. The difference highlights the financial demands of funding major construction and infrastructure projects alongside everyday public services. The projected EUR 25 million budget surplus therefore does not mean the city expects its investment-related cash flow to remain positive.
Sazonov presented the proposal to political groups on 19 October, starting negotiations over the 2027 budget. The proposal is scheduled to proceed to the city executive board in November before being considered by the city council. The proposed spending, tax rates and transport fare target remain subject to the budget process, while HSL will make the final decision on ticket prices.
