Cantonal finances SO Solothurn government expects deficit of 103 million francs
The canton of Solothurn will remain in the red in the coming year. The cantonal government anticipates a deficit of 102.8 million francs in the 2025 budget. A savings program of up to 60 million francs per year is already on the table.
26.09.2024, 10:41
SDA
The canton remains financially viable thanks to the surpluses of recent years, announced Finance Director Peter Hodel (FDP) on Thursday in Solothurn. However, the canton's financial situation remains "tense".
The cantonal government cited several reasons for the deterioration in the financial situation. The costs for education, social affairs and health are continuing to rise sharply. The need for investment is also high. In addition, there are new state contributions for supplementary childcare and the implementation of the care initiative.
No profit for the National Bank
The cantonal government expects higher tax revenues. However, it does not anticipate a profit distribution from the Swiss National Bank (SNB). The budget also does not include a cost-of-living adjustment for state employees and teaching staff. Negotiations between the social partners are still pending.
Two weeks ago, the government council presented controversial savings plans in order to balance the state coffers. 113 measures are intended to relieve the canton's finances by up to CHF 60 million per year.
The specific cost-cutting measures are the responsibility of the cantonal government and parliament. There are many ideas: For example, the government council is hoping to raise 50,000 francs from the auction of the "SO 1" control plate.
Slightly less deficit than expected
For the current year, the cantonal government now expects a deficit of CHF 90 million - almost CHF 22 million less than initially reported.
The funding of the Pension Fund Canton Solothurn (PKSO) will continue to burden the finances for many years to come. The canton will therefore have to write off CHF 27.3 million per year - over a period of 40 years.
The canton's net debt amounted to almost one billion francs at the end of 2023. The aim of the cantonal government is to reduce per capita debt to below CHF 4,000 by 2030.
