TAF warns of waning purchasing power

The Taxpayers’ Association of Finland (TAF) believes measures to put an end to the decline in purchasing power are available, even if wage increments are moderated. According to the association, a wage increment of 1.8 per cent would mitigate inflation, if no tax hikes are adopted. The purchasing power of Finnish employees is anticipated to diminish by 0.5 per cent this year, but is at risk of diminishing further, if tax hikes are introduced, TAF cautions. The Finnish government must thus introduce measures to break the looming vicious cycle, which threatens to reduce purchasing power, cripple competitiveness and shrink the national economy.

HT-STT