Social and health care expenditure

Expenditure on health promotion and long-term care is examined in work package 5. We study the effects of an ageing population on social and health care expenditure regionally and at the national level in Finland. We are working to propose ways to mitigate cost increases in fair ways that promote both economic and social sustainability.

The ageing of the population is expected to increase spending on health care and long-term care, which will jeopardize the financial sustainability of the system in Finland, both nationally and locally. Due to the ageing nature of the population, the share of health care expenditure in GDP is projected to increase from 6.1% to 6.9% between 2016 and 2070. The growth in long-term care expenditure is even higher. It is expected to almost double over the same period.

Previous studies have both challenged the claim of age as a factor explaining the increase in health care spending and also found it to be an important factor. Such results are critical to policy design when used to set the level of future health care budgets. This makes the impact of ageing on expenditure growth a crucial issue.

Focus of this work package

1. Ageing, health and long-term care expenditure in Finland
2. Ageing and variations in health care expenditure in the different regions of Finland
3. Cost control policies


Ismo Linnosmaa

Professor Ismo Linnosmaa from the University of Eastern Finland is responsible for this work package.

Other researchers are