Sweden's Cultural Funding Declines Amid Financial Strains, Malmö Increases Its Investment

Sweden's cultural sector is grappling with significant financial challenges as funding stagnates amid growing economic pressures, though some municipalities like Malmö are defying the trend by increasing their cultural investments.

Recent surveys by Svensk Scenkonst and Sveriges Museer reveal that 38% of cultural leaders report worsening economic conditions for museums and theaters, with half of regional cultural institutions acknowledging strained finances. Staffing reductions affect 39% of regional leaders, and 35% report fewer cultural productions, emphasizing the tangible impact of the funding squeeze. Notably, the government discontinued annual inflation adjustments for cultural funding in 2024, effectively causing a 3-5% budget cut for cultural organizations each year. This removal hindered the ability of institutions to accommodate rising costs, leading to operational constraints and stalled development efforts.

Culture Minister Parisa Liljestrand recognized the hardships, explaining that while municipalities and regions must prioritize culture, inflation-proofing budgets without raising taxes is unfeasible. Independent cultural groups are particularly vulnerable, with nearly half reporting worsened finances in 2026. Despite these challenges, cultural leaders continue to prioritize programs for children and youth, underscoring the importance of arts access during difficult economic times.

Amid this national decline—estimated at around two billion kronor lost between 2018 and 2024 according to the cultural union Dik—Malmö emerges as a notable exception. It ranks among the top three municipalities investing in culture, having increased its cultural budget by 150 million kronor during the current mandate period. Janne Grönholm, chair of Malmö’s cultural committee, highlighted the city’s commitment to preserving cultural offerings, contrasting with other parts of Sweden where access to libraries, dance, theater, and cultural schools diminishes. A PWC report commissioned by Dik further highlights the widening disparities in cultural access tied to geographic location and dwindling state funding.

The unfolding situation paints a picture of cultural institutions struggling to sustain their operations nationally due to policy shifts and budget constraints, while Malmö’s proactive funding approach offers a model for supporting cultural vitality despite broader financial challenges.