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Finland's homelessness figures rise after social service cuts

Finland, a country previously noted for its success in reducing homelessness, has seen an increase in numbers for the second consecutive year, following government cuts to social services, healthcare, and benefits.

  • The number of homeless people in Finland rose to 4,579 in November, a 20% increase on the previous year.
  • Finland's 'Housing First' policy, introduced in 2008, had previously seen homelessness drop by more than half between 2012 and 2023.
  • The current rise is attributed to factors including rising housing and living costs, benefit cuts, and an increase in substance abuse and mental health problems.

Finland has reported an increase in its homeless population for the second year in a row, with the latest national survey from last November indicating 4,579 people experiencing homelessness. This represents a 20% rise compared to the previous year.

The increase follows sweeping cuts to social services, healthcare, and benefits by Finland's right-wing government over the past three years. The government's own report cites rising housing and living costs, benefit reductions, and more cases of substance abuse and mental health problems as key contributing factors. The rise in homelessness has been particularly noted among women, under-25s, and individuals with non-Finnish backgrounds.

This marks a reversal for Finland, which had been recognised for its 'Housing First' policy, implemented in 2008. This approach, which prioritises permanent housing as a fundamental right, saw the number of homeless people drop by more than half, from approximately 8,000 to 3,400, between 2012 and 2023.

The Housing First model focuses on providing permanent homes, with support services such as treatment, healthcare, and employment following from that. Advocates of the model suggest it is more cost-effective for the state in the long run by reducing pressure on other public services. One housing unit in a Helsinki suburb, which accommodates 78 formerly homeless individuals, provides 24-hour staff support and communal facilities, with residents covering rent, starting at around €850 (£728) a month, often through benefits or pensions.

Why this matters: Finland's experience highlights the potential impact of social service and benefit cuts on homelessness, even in countries with established and successful housing policies.

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