The report of the Tax and Welfare Commission
In 2009, the Government of Greenland set up the Tax and Welfare Commission (SVK) to act as an independent commission. The commission was mandated to analyse welfare and taxation, focusing on enhancing self-sufficiency, reducing income gaps and easing the administrative burden. Starting from the premise that “status quo is not an option”, the commission concluded its work in 2011 by submitting the report “Our wealth and welfare require action – now”.
According to the commission report, the Greenlandic society faces a dual challenge through an ageing population and an increasing number of young people without education. Even though Greenland receives a comprehensive block grant covering approximately one third of public expenditure, the grant alone cannot satisfy aspirations for welfare improvement. Imbalances are due to underlying social and economic inequality.
The report presents a proposal for an overall reform package pursuing an active strategy building on three basic principles:
- Early prevention: a good childhood and good education
- Social balance and employment: safety net, job incentives and support
- Robust financing: a transparent and comparable tax system that supports employment. Grants are to be reduced.
The basic principles of the report are supplemented by a number of general recommendations, which have formed the basis for the "Vision 2025" formulated by the Government of Greenland. Find the report at http://naalakkersuisut.gl/en.
Annual budget reports
The municipality prepares annual budget reports in connection with the annual budgeting procedure. This ensures that the municipal council has an updated overview and basis partly for decisions on the municipal activities and partly for the revision of the town plan.
Some projects are self-financed by the municipality, while other projects are co-financed by the Naalakkersuisut. Overview of projects are found on the municipality's website.
In the town plan's statement, reports are included in the individual sector descriptions for the coming year - partly in relation to the municipal budget, and partly in relation to the section on constructions in the Finance Act. It aims to make the connection between strategy and objectives visible on the one hand and considerations on actual construction works on the other hand. The statement can thus be used as background material in connection with the municipality's budget procedure.