Wednesday, September 7, 2016

The minister’s statement: Interest deductions remain – Swedish Dagbladet

Finance Magdalena Andersson (S). Photo: Tomas Oneborg

The Left has been driving on the issue of de-escalation of interest deductions in 2017 in the budget negotiations with the government. There will be no to the well in 2017 as in 2018, announces Magdalena Andersson.

– In this budget will no proposal on changing interest deduction, she says to Dagens Nyheter.

Nordea’s chief economist Annika Winsth are not particularly surprised by the news.

– It is an important issue for the voters and for the close election. There is none of the parties who are eager to take on this issue, she said.

She previously argued that there is a margin for a cut in interest deduction but is now significantly more hesitant.

– I have been critical and emphasized that it should have changed but feel more and more as time runs out for the politicians. The interest rate will not fall much more and we also believe that debt will stabilize. Going to an additional parameter … it may not be necessary.

– However, I am very critical that you have not done it before, and very critical of the failure to reach agreement over the block boundaries in such an important question that the housing issue.

the Left has received support from the Green Party as bourgeois side. Moderates have stood the fiercest resistance, which prevents a bloc agreement.

Magdalena Andersson says in the interview with the DN that should a change be made, it should be broad parliamentary backing and gentle pace.

– it is important to monitor developments in the housing market, too, she says.

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