Turku Group’s loan portfolio sees record growth; biodiversity programme yields results

The evaluation report also addresses Promoting Well-being and Health for children and young people, the LUMO programme, and the follow-up to the evaluation of basic education and vocational education.

Promoting Well-being and Health is the responsibility of all stakeholders in the city and the wellbeing region

Success in Promoting Well-being and Health, i.e. HYTE work, requires both Turku and the Varsinais-Suomi well-being region to make a long-term commitment, to allocate resources to prevention and to engage in close cooperation, so that sound strategies translate into tangible results in the everyday lives of children and young people.

The fragmentation of responsibility has been recognised in both Turku and Southwest Finland.

– There is a need to further clarify roles and ensure that the HYTE task does not fall into a ‘no man’s land’ between the organisations of Varha and Turku, notes the Chair of the Audit Committee Sauli Seittenranta.

The city cannot tolerate a deficit indefinitely

During 2025, the Turku City Group incurred significant debt. The income statement showed a deficit and the Group’s loan portfolio rose to €2.1 billion. Investments, rising interest costs and increasing depreciation will continue to put pressure on the income statement in the future. The capacity to absorb deficits is not infinite, as the accumulated surpluses per capita on the Group’s balance sheet are the lowest among Finland’s six largest cities.

The profitability of group companies with a strong focus on housing and property operations suffered from the general economic downturn, rising costs and higher interest rates.

Training and support from line managers to ensure competence

The year 2025 placed a heavy burden on the City of Turku’s staff due to simultaneous reforms. Staff numbers were adjusted in a controlled manner (through natural attrition and recruitment considerations), and costs were kept under control without large-scale redundancies. The age structure and retirement highlight the importance of skills transfer and training.

– Impact assessment, support and training for line managers, and ensuring well-being and skills are important both during the change process and in the stabilisation phase, says Sauli Seittenranta, Chair of the Audit Committee.

Results from the Biodiversity Programme – systematic monitoring and evaluation are needed

The implementation of the Biodiversity Programme (LUMO) has, for the most part, been in line with its objectives in 2025 and has produced measurable results in areas such as habitat management, invasive species control and waterway restoration. However, the evaluation notes that the implementation of nature conservation objectives remains heavilyand project-based, and that systematic monitoring and evaluation of the impact of the targets and the overall development of the state of nature are still inadequate.

• The report was approved by the Audit Committee on 26 May 2026. The report will be discussed by the City Council on 15 June 2026.

   

*This translation was produced with AI and reviewed by a human.