The Helsinki Region Chamber of Commerce’s municipal and regional election objectives focus on increasing vitality and competitiveness in the region. Markku Lahtinen, Chief of Advocacy at the Helsinki Region Chamber of Commerce, delves into these themes in his writings.
1. Revitalizing Helsinki’s City Center
Helsinki’s city center has seen approximately 30 million fewer visits compared to 2019. The goal is to bring visitors back and further increase the number during the upcoming council term to a level that encourages businesses across various industries to invest in the city center. Strengthening the vitality of Helsinki’s city center is crucial for the entire Uusimaa region.
Helsinki Region Chamber of Commerce has proposed expanding the use of the maintenance tunnel in the western part of the city, allowing vehicle traffic direct access to underground parking facilities. So far, political decision-makers have responded cautiously to our initiative, despite its many advantages: it is rational, cost-effective, and makes full use of existing infrastructure. The new city council will inevitably have to take a different approach compared to the last two council terms regarding the vitality of the city center.
2. Ensuring Sufficient Retail Locations Both in City Centers and Beyond
Zoning should promote free competition in the retail sector. This is only possible by providing retail operators with sufficient alternative locations and ensuring the expansion and development opportunities for existing businesses. Cities must also ensure that there is space in city centers for large grocery stores.
Retail businesses are best equipped to determine where it is profitable to establish locations, provided that urban planners and developers create the necessary conditions. In March, Helsinki Region Chamber of Commerce will publish a study on the locations of retail businesses in the Helsinki metropolitan area and the purchasing power of households in different parts of the region.
3. Businesses Enable the Financing of Welfare Services
Businesses form the foundation of well-being by paying taxes to the state and municipalities, creating jobs, investing in the future, and providing essential everyday services. Additionally, businesses drive innovation and the development of new, more environmentally friendly essential goods. Particularly in the wellbeing services county, the private sector’s healthcare services should be more widely adopted to improve care quality, accessibility, and resource optimization.
In Uusimaa, businesses paid a total of €1.7 billion in corporate and property taxes in 2023. Every new job and private sector investment increases municipalities’ and the state’s ability to fund essential services—from early childhood education and schools to sports facilities and public transportation. In addition to corporate and property taxes, businesses also contribute significantly to state revenue through payroll taxes and other statutory payments.
4. Municipalities Should Not Engage in Activities Others Can Do Better
Helsinki Region Chamber of Commerce challenges cities and municipalities to assess public expenditure and their role in the market. Municipalities should not conduct business that distorts competition and takes space away from private operators. A particularly problematic practice is the use of municipal in-house companies, which circumvent market-based competition by owning a small portion of publicly owned companies that provide services and products. Free and fair competition has been shown to create greater added value for taxpayers. Instead, cities and municipalities should focus on fostering conditions for business investments, ensuring an available skilled workforce, and creating new jobs—both domestic and international.
5. Business-Friendliness and Job Creation as Council Priorities
It is crucial for Helsinki region’s future municipal decision-makers to familiarize themselves with the solutions proposed by Helsinki Region Chamber of Commerce, which support business confidence and investment. The more effectively the needs of businesses and industries are considered in the municipal strategies prepared next autumn, the more jobs, tax revenues, and well-being will be generated.
Between 2018 and 2023, the number of jobs created by businesses in Uusimaa increased by only 0.2% in terms of full-time equivalent employment—just over a thousand new full-time jobs. This growth rate is insufficient for a thriving region.
Want to find out more about our objectives for municipal and regional elections? Contact Markku Lahtinen!
This article was translated into English by an AI and revised by communications professionals at Helsinki Region Chamber of Commerce. Please find the original Finnish article here.
