Key Takeaways:
- Finland has been a net contributor to the EU budget since 2001, costing each resident €144 in 2022 alone.
- The country now faces the EU's highest unemployment rate (10.7%) and a severe economic strain from the loss of Russian trade.
- Finnish MEPs argue Finland's geographic isolation and its role in defending the EU's longest border with Russia justify greater EU investment in infrastructure and security.
For over two decades, Finland has sent more money to Brussels than it has received back. Since 2001, six years after joining, the country has consistently been a net contributor to the EU budget. In 2022, membership cost every person in Finland €144.
This made economic sense in the early years. Finland's robust economy and superior infrastructure meant it needed less from the EU's cohesion and agricultural funds than newer, less developed member states. Countries like Poland and Spain used transformational EU funding to modernize, slash unemployment, and integrate into the Single European Market.
Today, the equation looks very different. Finland sits on the fringe, its vital eastern trade route with Russia shut down. Over 90% of its foreign trade now travels by sea, making it, in effect, an island within the EU.
A Shifting Economic Reality
While EU funding helped Poland's unemployment plummet from 19% to 3% over 20 years, Finland's rate has remained stubbornly high, now leading the bloc at 10.7%. The country contributed around €800 million more than it received in 2023, even as its economy grapples with the fallout from Russia's war in Ukraine.
Finnish MEPs from across the political spectrum agree: Finland shoulders a disproportionate defensive burden and its economy is suffering as a direct result of EU-wide sanctions against Russia. This, they argue, has a significant knock-on effect on jobs.
"American investors see our long border with Russia and they decide that perhaps they will not invest in a 50-year project in Finland that might involve risks or conflicts," said Mika Aaltola, an MEP from the National Coalition Party (EPP).
Demanding a Fairer Deal: The MEPs' Proposals
In interviews with Yle News, Finnish representatives in the European Parliament outlined what they believe the EU should do to support Finland.
Mika Aaltola and Pekka Toveri (both NCP/EPP) advocate for strategic EU investments to counterbalance the economic pain caused by sanctions and security risks. Their proposals include:
- Major infrastructure projects to better connect Finland to the continent.
- Significant funding for Arctic and northern security initiatives.
Toveri was specific: "We need a tunnel from Tallinn to Helsinki. We need a bridge over the Kvarken in the Gulf of Bothnia. We need better railway connections to harbours in northern Norway."
Such projects would create immediate jobs and cement Finland's long-term links with the EU's core.
The Political Divide on EU Solutions
Not all MEPs believe the EU should directly tackle Finland's unemployment. Sebastian Tynkkynen of the Finns Party (ECR) stated the EU has no role in alleviating the jobs crisis, though he supports more infrastructure and defence investment.
He highlighted the raw financial imbalance: "If we give one euro to the European Union, we get 24 cents back. So this is not a very fruitful equation for us."
Li Andersson of the Left Alliance argued for a burden-sharing mechanism similar to the one used during the COVID-19 pandemic. Countries facing exceptional costs—like Finland's massive defence spending to guard the EU's border—should receive compensatory EU funds.
However, she noted the political irony: the current Finnish government, and the Finns Party in particular, have historically opposed such asymmetric financing mechanisms. "In this case of defence spending, such opposition has not been beneficial for Finland, because we could have been on the receiving side," Andersson said.
An Island Seeking Bridges
The debate in Strasbourg underscores a fundamental tension. Finland's wealth once placed it firmly in the contributor column of the EU's balance sheet. Now, its unique geopolitical and geographic challenges are prompting a reevaluation.
The question for the EU is whether its funding models can adapt to support a member state facing a perfect storm: economic isolation, a severe security threat, and a struggling labor market, all while that state continues to pay more into the common pot than it takes out.
For Finnish MEPs, the message is clear: solidarity must be a two-way street, especially when one country guards the Union's gate.