What do municipalities do?

5.3.2025

TEXT HEIKKI JOKINEN
PHOTO EMILIE UGGLA

The decision-making process in Finland is based on a democratic state underpinned by the rule of law. According to the principle of separation of powers, law-making, execution of decisions, and juridical power are separated.

Parliament stipulates the laws, decides on the state budget, and oversees the Government’s work. Executive power lies with the Government and in matters regarding foreign policy to some extent with the President of the Republic. Independent courts represent the judiciary.

All of Finland’s 21 wellbeing services counties (hyvinvointialue) and 308 municipalities are under regional control. Each enjoys autonomy. 108 municipalities call themselves cities (kaupunki), 200 municipalities (kunta).

The Finnish constitution guarantees both autonomy and the right to collect taxes to the municipalities. The highest decision-makers in the municipalities are the municipal councils. Members of these are elected in local elections every fourth year. The next municipal elections will be held on 13 April 2025.

The Finnish constitution guarantees both autonomy and the right to collect taxes to the municipalities.

The municipal council is in charge of the local government economy and function. It also appoints elected officials of the municipal executive and the local authority committees.

Several services, like education, early childhood education and care, building control services, environmental services, and taking care of infrastructure, are run by the municipalities. From the beginning of 2025, they organise the employment services, too.

Some municipalities have a mayor. He or she is an elected official, a member of the municipal council, and holds power for the same term as the council. Another, much more common way is to have a chief executive, who is a civil servant. Both are working as the heads of the municipal administration, financial management, and other local activities.

In recent years, there have been some major changes in the Finnish local government system. But one thing stays the same: your vote matters. Municipal councils have a lot to say on many important issues affecting our daily lives.

 

New regional counties

Since 2023, there are 21 wellbeing services counties in Finland. They cover several municipalities, except for Helsinki. They provide health, social, and rescue services.

All of these wellbeing services counties are self-governing. Their highest decision-making power lies with the county councils, whose councillors are elected in county elections. They decide, among other things, on the regional strategy, budget, and rules of administration.

The county council elects the executive board, other administrative bodies, and the county CEO. The next county elections will be held on 13 April 2025, at the same time as municipal elections.

Jenni Airaksinen, CEO of the Foundation for Municipal Development, says that the decision-making systems in the counties are still unfinished. Their structures follow municipal ones, though they are different.

Also, according to Jenni Airaksinen, the real self-governing of the wellbeing services counties is somewhat illusory. The state very much guides their activities.

– The counties do not have the ability to grow their income, and actually have no possibility to grow their expenses either. One may ask where is the autonomy.