Government cancels senior housing assistance cuts plan

Finnish government has decided to shelve plans that would have cut housing assistance for senior citizens. Social Affairs and Health Minister Hanna Mäntylä says the proposed cuts would have caused hardship for thousands of pensioners.

                               

The decision means that government no longer plans to combine senior housing assistance with general housing assistance. The change would have meant payment cuts and potential financial difficulty to thousands of pensioners.

Minister of Social Affairs and Health Hanna Mäntylä confirmed the change of plans on Monday.

"The matter has been debated throughout the autumn and we discussed options," Mäntylä said. "As a minister, moving forward on this issue has been particularly difficult. It has become clear that [the cuts] would have caused utter hardships for some pensioners."

"I'm happy and pleased that I don't need to push this initiative forward, and that I can tell you that it has been cancelled," Mäntylä said in a statement.

Additionally, the government says it is halving its savings target on pharmaceutical spending to 50 million euros.

The Ministry of Social Affairs and Health says it is looking for ways to cut additional spending on prescription medicine.

News about the government's housing assistance plans for pensioners was first reported in Helsingin Sanomat.

YLE FINLAND