STOCKHOLM (Reuters) – Sweden’s centre-left government said on Monday it would propose raising pensions for the elderly with the lowest incomes in a reform that will cost 9.4 billion crowns ($1.00 billion) in 2023.
The Social Democrat minority government agreed with the Green and the Left parties to raise pensions by up to 1,000 crowns tax free per month for the half a million pensioners with the lowest incomes, the parties told a joint news conference.
“Nearly every other pensioner is covered by the reform,” Green co-leader Marta Stenevi told the news conference.
Sweden holds general elections in September. It was unclear whether the bill would be approved by parliament where the Social Democrats, Greens and Left Party lack a majority on their own.
“We are serious about taking back control of the welfare system and ensure that everyone has a pension that they can live on,” social security minister Erdalan Shekarabi of the Social Democrats said.
The additional pension payment would be disbursed from August.
($1 = 9.3931 Swedish crowns)
(Reporting by Anna Ringstrom; editing by Niklas Pollard)
