Rauma Continues to Invest in the Future as City Budget Deliberations Begin
News
The Mayor’s budget proposal for the City of Rauma for 2027–2029 focuses on building a future based on the new City Strategy’s three strategic goals: Vibrant Rauma, Retaining Rauma, and Radiant Rauma. The City Board will consider the budget proposal for the first time on November 9, 2026.
The budget emphasizes projects that strengthen the city’s vitality and advance its long-term strategic objectives. Key initiatives will continue to include the City Center Vision 2050, the Shoreline Vision 2040 (Rannan visio) aimed at developing the shipyard and port areas, and the launch of passenger rail service between Rauma and Tampere.
Service network to be renewed to meet future needs
The 2027 budget focuses on development aimed at the future. Rauma is investing in its service network, school and daycare facilities, sports and recreation facilities, and an attractive urban environment. At the same time, the service structure will be adapted over the long term to changes in population structure and service needs by renovating and replacing older buildings.
Investments totaling approximately €38 million are planned for 2027. The largest projects include the renovation and expansion of the ice arena, improvements to ball sports facilities in Äijänsuo, and the construction of the Nanunkallio school, production kitchen, and daycare center.
The investment program also includes the development of the Otanlahti sports area, the establishment of a youth center and youth workshop in Papinpelto, and improvements to streets and other infrastructure. However, the level of investment is expected to decrease in the coming years: investments are estimated at €32.9 million in 2028 and approximately €30.3 million in 2029.
Despite the deficit, Rauma’s financial position remains strong
In the 2027 budget, the City’s operating revenue is estimated at approximately €42.6 million and operating expenses at approximately €156.1 million.
At the current tax rate, tax revenue is estimated at approximately €103.9 million, while central government transfers are estimated at approximately €13.9 million.
The annual contribution margin is approximately €6.0 million. Planned depreciation amounts to approximately €21.2 million, resulting in a deficit of approximately €15.2 million. After the change in the depreciation difference, the deficit for the financial year is estimated at approximately €13.8 million.
At the end of 2027, the balance sheet is expected to include approximately €99.9 million in accumulated surplus from previous years.
The high level of investment will increase the City’s financing needs in the coming years. The City’s outstanding loans are estimated to total approximately €166.7 million at the end of 2027 (€76.1 million in loans to City-owned companies).
“However, the strong balance sheet gives the City financial flexibility at a time when significant investments are being made while the service network is also being renewed,” says Mayor Esko Poikela.
The City Board will consider the Mayor’s budget proposal on November 9 and November 16. The tax rates for 2027 will be considered by the City Council on November 16, and the 2027 budget will be submitted to the City Council for approval on November 30.
Key figures in the 2027 budget:
Operating margin: −€113.5 million
Tax revenue: €103.9 million
Central government transfers: €13.9 million
Deficit for the financial year: −€13.8 million
Investments: approximately €38.0 million
