Monday, August 25, 2025

Polaris of Enlightenment

ICA CEO on price hikes: “We’re doing everything to help”

Welfare collapse

Published 7 March 2025
– By Editorial Staff
Eric Lundberg, CEO of ICA Sweden, claims that the food giant is doing everything it can to bring down prices.
3 minute read

Sweden’s soaring food prices have led to calls for a boycott of the country’s major grocery chains, with many Swedes arguing that the food giants are enriching themselves at the expense of the population.

ICA Sweden’s CEO, Eric Lundberg, however, rejects the harsh criticism and claims that they “do everything we can to help customers”  despite making multi-billion profits last year.

The Nordic Times recently highlighted how a major boycott of the country’s major grocery stores is planned during week 12 in protest against rising food prices an initiative that has been widely spread on social media.

– Food prices are becoming very extreme. They are affecting everyone right now, both me, who earns well, and those who are struggling financially, says Robin Lindgren, from Eskilstuna.

On social media, single parents, people on sick leave and pensioners are testifying to how their finances have already been stretched to the limit following sharp increases in housing costs and a general rise in prices and that it has now gone so far that they feel forced to prioritize food.

“Time to speak out”

Already a year ago, alarms were raised about the fact that many single parents cannot afford to eat enough or are forced to give up nutritious food. More and more people are also seeking help from the church or non-profit organizations, and it is common for parents to give up food themselves so that their children can get the food they need.

The owners of the food giants have long been accused of raising prices far above what is justified by the general price trend, and of exploiting inflation and an uncertain global economy to profit from Swedish consumers.

Food prices in Sweden have skyrocketed, and the hardest hit are those who are already struggling to make ends meet – the poor, students and pensioners. At the same time, the big food chains continue to report high profits. It’s time to speak out!” says Filippa Lind, initiator of the boycott campaign.

“Doing everything in our power”

ICA is by far the largest and most influential food retailer in Sweden, and CEO Eric Lundberg claims that he “understands the customers’ frustration” and that they are not raising prices without any reason.

– We are doing everything in our power. We are negotiating with our suppliers. Last year we invested more than a billion euros in lowering, moderating, food prices. We reduced the price of fruit and vegetables by over 12%, he claims.

– We are really doing everything we can to help customers in this difficult and challenging time, Lundberg continues.

“Invested to help customers”

At the same time, ICA Sweden made a gross profit of SEK 26 billion (€2.4 billion) last year but the CEO does not think this is anything strange.

We have invested to help our customers, he says, adding that the food industry is “a very investment-intensive industry”.

– If we compare the rate of price increases and prices compared to the rest of the EU, for example, we have had a lower rate of price increases in Sweden. If you also look at the total grocery trade, only two out of six players are actually profitable, it is claimed.

ICA’s share of the Swedish grocery trade is about 50 percent. Together with Axfood and Coop, it accounts for about 90 percent of food sales.

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Finland: Should children be forced to take care of their aging parents?

Welfare collapse

Published 20 August 2025
– By Editorial Staff
Critics note that many elderly people have no family or close relatives who can help them.
4 minute read

An explosive debate has erupted about the future of elderly care in Finland, where pension company CEO Risto Murto argues that society will soon no longer be able to afford caring for elderly citizens – and that responsibility must therefore be transferred to families.

Several politicians reject the proposal, however, arguing that it is the welfare state’s duty to care for its aging population in a dignified manner.

With the number of elderly Finns expected to increase from 600,000 to 900,000 people in just fifteen years, the country faces a demographic time bomb. Now Risto Murto, CEO of the occupational pension company Varma, has caused major controversy by declaring that Finland will not be able to afford today’s public elderly care in the future.

His solution? That adult children instead take over responsibility for their aging parents.

The statement has prompted several Finnish politicians to protest, and members of parliament in the Social Affairs and Health Committee clearly oppose the proposal, reports Svenska Yle.

— We shouldn’t go in that direction, says Henrik Wickström from the Swedish People’s Party (a Finnish political party representing the Swedish-speaking minority) firmly.

— We must find other solutions, argues Maaret Castrén from the National Coalition Party.

Number of elderly increasing rapidly

The demographic development that worries Risto Murto is brutal in its simplicity: Fewer and fewer children are being born while the number of elderly is increasing rapidly. From today’s just over 600,000 people over 75 years old, the figure is calculated to rise to approximately 900,000 in fifteen years.

But for MP Henrik Wickström, elderly care is non-negotiable.

— The major challenge is the shortage of nursing homes. We haven’t managed to develop services at the pace that the population is aging, says Wickström, pointing out that elderly care is a fundamental responsibility of the welfare society.

Maaret Castrén is even sharper in her criticism:

— Future elderly care cannot depend on families taking care of their elderly. That cannot be something we work toward.

“Not all elderly have children”

The Center Party’s Hanna-Leena Mattila acknowledges that the statement is understandable given the state’s strained finances, but points to fundamental problems with the proposal.

— Not all elderly have children, so how can we guarantee that everyone is treated equally if responsibility is placed on the family? she asks rhetorically.

Research doctor Sarah Åkerman at Åbo Akademi University (a Finnish university) warns of the consequences of romanticizing the image of family caregiving.

— It’s often demanding and involves much more than socializing over a cup of coffee, says Åkerman.

She also points out that relatives already carry a heavy burden in Finland, despite generous elderly care.

— Relatives already do a lot, and it’s not obvious that adult children can take on even more responsibility.

Critics point to several serious consequences if family responsibility were to increase. Many Finns live alone and lack children. Those who have children of working age would be forced to reduce their working hours, threatening employment rates.

The risk of increased inequality is also said to be great. Some can afford to buy private help, while others are forced to sacrifice their careers.

— When my mother became ill this spring, my retired sister could help the most. The rest of us in the family are still working and couldn’t help as much, relates Maaret Castrén.

Sarah Åkerman emphasizes the problem further:

— Being someone’s child doesn’t automatically make you a caregiver.

It becomes particularly difficult when dealing with dementia or other complicated care that requires education and professional competence that children typically lack.

“Heartbreaking when elderly feel like a burden”

Despite the resistance, politicians acknowledge that something must be done. If the state’s economy continues to deteriorate, the model where families take greater responsibility could become reality, according to Risto Murto.

But alternative solutions exist. Maaret Castrén highlights community housing and home healthcare as cost-effective models. Henrik Wickström places his hope in digital technology and preventive measures. Hanna-Leena Mattila proposes a form of “elderly care leave”, similar to parental leave, for those who need to care for an aging parent.

But for Mattila, the issue is about more than economics. She tells of her meetings with elderly people who are worried that society sees them as a burden.

— It’s heartbreaking when elderly feel like a burden to society. We as decision-makers in social and healthcare have much to work on so that elderly care is sustainable and everyone can age safely in the future. The only solution cannot be to place more responsibility on adult children, says Hanna-Leena Mattila.

Watchdog: Swedish food prices higher than justified

Welfare collapse

Published 29 June 2025
– By Editorial Staff
Between 2021-2023, food prices in Sweden increased by 28 percent - an inflationary spiral unprecedented in modern Swedish history.
2 minute read

Between 2021 and 2023, food prices in Sweden rose by over 28 percent – a price development not seen in decades. Now, the Swedish Competition Authority (Konkurrensverket) has released a report showing that price increases on several basic food items in stores have exceeded what can be explained by increased costs in the supply chain.

The authority points to lack of competition, particularly in the grocery retail sector, as a crucial factor behind the high prices.

The Competition Authority’s report – a follow-up to a previous analysis from 2024 – shows that grocery retail, food industry, and its wholesalers have maintained stable profitability over the past 15 years – even during the period when food prices rose sharply.

According to the authority, this means that price increases in stores cannot be explained solely by increased costs, but that retailers in many cases have raised prices more than cost developments would justify.

Our analysis shows that profitability in the industry has remained stable for a long time, even during the years when prices rose sharply. This reinforces our previous assessment that competition in parts of the food supply chain is insufficient, says Director General Marie Östman.

Competition deficiencies in focus

The Swedish Competition Authority concludes that high market concentration, barriers to entry for new players, and restrictions in trade agreements contribute to keeping prices high.

ICA, Sweden’s largest grocery retailer with a market share of around 50 percent, is being specifically investigated to determine if the company’s actions may have limited competition.

Well-functioning competition drives down prices and improves efficiency. The overall picture from our analyses shows that there is room for improvement, particularly in the retail sector, which ultimately can benefit consumers and moderate store prices, says Marie Östman.

Recent years’ soaring food price increases have had a noticeable negative effect on many households. Photo: Daria Obymaha/Pexels

The unjustified price increases affect household economies, especially for low-income earners and pensioners where food costs constitute a large part of their budget.

Several basic goods such as butter, bread, cheese, and potatoes have seen particularly large price increases in stores, exceeding cost increases from suppliers.

Food prices have repeatedly sparked debate in the Riksdag , and among consumer organizations demanding stricter regulations to counter market power and promote competition.

The Swedish Competition Authority continues its investigation of the grocery retail sector and intends to propose measures to increase competition and improve market functionality.

Thousands rally in London to oppose welfare cuts

Welfare collapse

Published 9 June 2025
– By Editorial Staff
2 minute read

Thousands of people demonstrated in London on Saturday, June 7, against the Labour government’s decision to cut welfare spending while increasing defense spending. The protest challenges the British government’s economic priorities.

The demonstration was organized by the People’s Assembly and the Stop the War Coalition under the slogan “Welfare Not Warfare” and stretched from Portland Place to Whitehall, reports The Independent.

The protests criticize Prime Minister Keir Starmer’s decision to increase defense spending to 2.5 percent of GDP by 2027–2028, with a target of 3 percent in the next term, according to the new Strategic Defense Review.

At the same time, the government has proposed removing the winter fuel allowance, maintaining the two-child limit for benefits, and cutting support for people with disabilities.

The organizers describe these decisions as political rather than necessary economic choices.

Healthcare, housing, and education

Martin Cavanagh, president of the Public and Commercial Services Union, called in his speech for resources to be redirected to healthcare, housing, and education.

The demonstration was lined with union flags and placards bearing slogans such as “Tax the Rich”, “No to Austerity 2.0”, and “Nurses not nukes”.

Angela Grant from the DWP group emphasized that many people are suffering from hunger and inadequate healthcare, while the government is increasing military spending.

According to reports, support for the demonstration came from large parts of the UK, with buses bringing activists to London.

The Labour government: Increased security threat

The government justifies its priorities with an increased security threat from Russia, citing, among other things, the planned military aid to Ukraine, which includes large quantities of drones. Critics, including several trade unions, argue that welfare is being sacrificed for military ambitions.

The protest followed earlier demonstrations since Keir Starmer took office as prime minister, and discontent has grown after budget proposals and adjustments that protesters say will worsen welfare for ordinary people.

The protesters ended with a clear demand: the government must reconsider its priorities and provide more support for social needs.

While Labour emphasizes national defense preparedness as a priority, concerns about the future of welfare are growing – which the protests clearly signal.

10,000 children living in homelessness: “The Swedish model has collapsed”

Welfare collapse

Published 4 June 2025
– By Editorial Staff
In Sweden, homeless people are not only those living on the streets - but several groups who do not have a long-term home.
2 minute read

Nearly 10,000 children are living in homelessness in Sweden, according to the latest report from Sveriges Stadsmissioner (Sweden’s City Missions). The organization warns that the actual number may be significantly higher and is now calling for bold political action to reverse the trend.

– We need major national reforms, says Jonas Rydberg, Secretary General of Sveriges Stadsmissioner, in an interview with TT.

Sveriges Stadsmissioner’s annual homelessness report paints a bleak picture, especially for children and young people. Almost 10,000 children do not have a safe home, and according to the National Board of Health and Welfare’s survey from 2024, at least 9,400 children are affected. However, experts believe that the reality is likely to be much bleaker than this.

– There is a large number of unreported cases, as the National Board of Health and Welfare also notes in its report. This is because many groups do not end up in the statistics. If you terminate your lease before you are evicted, you do not end up in the eviction statistics, Jonas Rydberg explains.

“The Swedish model has collapsed”

He believes that much of the problem stems from inadequate housing policy and argues that today’s housing market is not adapted to modern living conditions, especially for single parents.

– We don’t live the same way we did 50 years ago. But the housing market hasn’t kept up. It’s not unusual to be a single parent living in an apartment. Many of the people who come to us can’t afford a long-term rental contract; we’ve seen this for a long time.

The secretary general also criticizes the Swedish model of housing provision, which is based on general policy rather than targeted measures.

 Sweden’s housing policy is based on general housing provision without any special measures. If you are on a low income, there should be supplements such as housing benefits, and there should be a variety of apartments available. But it doesn’t work. Other countries have increasingly moved towards targeted measures, such as building apartments with lower rents or, in some cases, the state stepping in to subsidize rents.

– We can see that the Swedish model has collapsed. Housing benefits have been depleted for a long time. Net wages for certain groups have not kept pace. What is being built is not affordable, and not everyone has access to the housing stock. That is the big problem, he adds.

Passive politicians

The government has launched a homelessness strategy and tasked the National Board of Health and Welfare with investigating the increase in evictions and proposing measures. But Sveriges Stadsmissioner believe that this is not enough.

– The problem is that it’s piecemeal politics; it has no impact. Politicians listen, but they are unable to take joint action across party lines, says Jonas Rydberg.

The organization is therefore calling for more comprehensive measures, including more affordable housing and increased housing subsidies, so that vulnerable and economically disadvantaged families also have a chance at security and stability in their lives.

The National Board of Health and Welfare's definition of homelessness includes four different situations:

1. Acute homelessness
The person is in an immediate emergency situation and is staying overnight in shelters, emergency accommodation, shelters or similar. This includes those sleeping outdoors, in stairwells, public places, cars, tents or other temporary places without a roof over their heads.

2. Institutionalization or supported housing
The individual is staying in, for example, a correctional facility, residential care home (HVB), SiS institution, foster home, or supported housing, and is scheduled to leave within three months—but has no permanent housing to move to. It also includes those who should have already left but remain due to a lack of housing.

3. Long-term housing solutions via the municipality
The person lives in accommodation arranged by the municipality, such as a training apartment, reference apartment or social contract. These accommodations are temporary solutions for people who cannot enter the regular housing market, often with special rules or supervision.

4. Self-arranged but temporary accommodation
The person lives without a contract with friends, relatives or acquaintances, or has a short-term contract as a lodger or subtenant. This often happens after the individual has sought help from social services for their housing situation.

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