The City of Rauma Has Commenced Its Budget Review Process
News
The budget proposal of Rauma’s City Mayor for the years 2026–2028 focuses, in line with the city strategy, on building a vibrant and attractive future. The City Board will review the budget proposal for the first time on November 3rd.
The budget emphasizes vitality projects that support the city’s long-term strategy. These include, among others, 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.
The largest investments in new constructions and renovations
The City of Rauma’s strong financial foundation enables investments that support its strategic goals. During the years 2026–2028, a total of €104.7 million will be allocated to investments, with €48.5 million planned for implementation in 2026. Financing these investments will require net borrowing of approximately €56.9 million over the same period. The largest individual projects include:
- Nanunkallio School, production kitchen, and daycare center: €25.7 million (total estimated cost €38.4 million)
- Renovation and development of the Äijänsuo ice rink: total estimated cost €20.0 million, with Rauma’s share up to €12.9 million
Everyday services, including €3.1 million for the development of the Otanlahti sports area and €3.9 million for the Papinpelto youth center and youth workshop facility.
Next year’s budget is in deficit – the actions and decisions made will have an impact in the years ahead
The City of Rauma’s budget is in deficit, as is the case with many other municipalities. For the year 2026, a deficit of approximately €11.7 million is projected. According to the budget, the city’s operating margin—i.e., net expenditure—is estimated at around -€114.5 million in 2026.
State subsidies for 2026 are expected to total approximately €15.0 million, compared to €14.4 million in 2025.
Tax rates will remain unchanged, meaning Rauma’s municipal income tax rate will continue to be 7.90 % next year. Based on current estimates, total tax revenue will amount to €103.0 million.
In the financial plan for the coming years, the volume of investments will decrease. Changes to the service network—some already implemented—will generate savings in the medium term. In addition, the general economic outlook, which is expected to improve, will have a significant impact on municipal finances.
The City Mayor’s budget proposal will be reviewed by the City Board on November 3rd and 17th. The 2026 tax rates will be discussed by the City Council on November 10th, and the 2026 budget will be submitted for Council approval on November 24th.
Key figures of the 2026 budget:
- Operating margin: -€114.5 million
- Tax revenue: €103.0 million
- State subsidies: €15.0 million
- Annual result: -€11.7 million
- Investments: -€48.5 million
