The City of Stockholm Annual Report 2018 by blomquist

Annual Report

Structure Target groups The City of Stockholm’s Annual Report gives you an overview of the City’s finances and operations during 2018. The Annual Report is produced by the City of Stockholm’s City Executive Office and is intended for politicians, Stockholmers, users, employees and other stakeholders. Administration Report The Administration Report presents the past year in accordance with Chapter 4 of the Local Government Accounting Act. The first section summarises the year and provides a view of the surrounding world. The fulfilment of the City of Stockholm’s orientation goals and the operational area targets are briefly presented. There is also a brief information here on the City’s financial targets, the Municipal Group’s investing activities and employees. How the City is governed Under this section, you can read about the Municipal Group’s governance, the Commission for a Socially Sustainable Stockholm, the City’s international work and the City’s quality assurance work.

City Council orientation goals In the City of Stockholm’s budget, the City Council has established orientation goals, targets for the operational areas, indicators and activities that together measure goal attainment. This section describes how the City met the City Council’s goals. The description is divided by operational area, targets where activities performed during the year and outcomes of indicators are presented. Economic and financial analysis and annual financial statements The Annual Report is concluded with an economic and financial analysis of the results for the entire Municipal Group and the City. The income statement, balance sheet and cash flow statement with associated notes are also included. Digital and printed version The City of Stockholm’s digital version provides the opportunity to follow links for those who want to delve deeper. A limited number of copies of the printed swedish version are available for environmental reasons.

The City of Stockholm’s Annual Report 2018 Cover photo Lennart Johansson Inside cover photo Anna Åberg Production The City Executive Office’s Finance Department in collaboration with Blomquist Communication – blomquist.se

Content

4 F oreword – Stockholm, the City of opportunities

6 Administration Report

7 K ey events during the year the year 8 Stockholm in the world 9 Market analysis 12 Organisation and Governance 13 The City Executive Board’s supervisory duty

26 How the City is governed

27 Municipal Group Control 33 The Commission for a socially sustainable Stockholm 34 The City’s international work 36 The City’s quality work

38 City Council orientation goals 40 A Stockholm that stands united 58 An eco-smart Stockholm 70 An economically sustainable Stockholm 80 A democratically sustainable Stockholm

94 Economic and Financial analysis

95 About the Municipal Group 97 About the City

104 Financial statements

105 106 107 108 111 115 126 128 129 132

Income statement Balance Sheet Cash flow statement Accounting principles Notes to the income statement Notes to the balance sheet Notes to the cash flow statement Audit Report Committees, companies and foundations Five year review

The City of Opportunities Stockholm is a great city with good development opportunities and is an engine of growth in Sweden. If things go well for Stockholm, it usually goes well for Sweden. But Stockholm can do better and a growing Stockholm on the way towards the 2020s must be met with higher ambitions and reform force in several areas. Competition between cities for investment, talent and tourism is tougher than ever and Stockholm must be at the forefront in order to stand out of the crowd in an ever changing world.

fter the election in 2018, Stockholm is governed by a new green-blue majority. The new direction that this majority have pointed out is to develop Stockholm to an even more economic, socially and ecologic sustainable city. In this important work the City has many co-workers in different activities and areas each day performing bracketing efforts to give the inhabitants of Stockholm the service and the efforts that they have a right to expect. In the annual report which provides an overview of the City’s financial position and operations in 2018. Committees and company boards are deemed to completely fulfil two of the City Council’s four operation goals completely and to partly fulfil the other two. In the view of this, there are reason to review the tracking of the target fulfilment and consider revision and further development of indicators. 4

The City of Stockholm’s Annual Report 2018

The overall assessment is that the city has met the requirements for good economy management during 2018 Stockholm will have a good economy and healthy finances. It is therefore essential that the city’s activities are conducted as efficiently as possible, is provident with the taxpayers’ money and that the given budget frameworks are kept. At a time when Stockholm is growing in a historic extent, the city must combine high ambitions for the welfare, through significant investments and a stable, long-term sustainable economy. Since there are indications that the economic cycle is slowing down and turning downwards, the municipal group must also work actively to streng then cost control and engage in readiness for the economic conditions to change. During the year, the inhabitant’s experience of security increased compared to 2017, and is again on the same level as 2016. Yet the insecurity is high in many

neighbourhoods and serious problems regarding crime and violent extremism continue to be present. Safety and security have been given a higher priority and significant resources have been allocated to these items in the city budget for 2019. The security issues cut across multiple areas of operation and require different actions in different parts of the city to reverse the recent trend of increasing insecurity and crime. The labour market in Stockholm is growing. Employment is at a very high level and the number of employed inhabitants increases due to strong growth and a growing population. A the same time, the city’s labour market is split in two, where things are going well for many but not for everyone. Also in Stockholm, unemployment is significantly higher among immigrants than among born in Sweden. One of our main tasks is to create opportunities for people who are far from the labour market by lowering the threshold to the job opportunities. Stockholm’s business climate needs to be improved considerably to make it easier to start and run a business in Stockholm and to increase the prospects for more job opportunities in the companies. The school is one of the most important tools to ensure that our children will be able to create themselves a good life and to increase social mobility. An equivalent school is a prerequisite for all students to have the opportunity to succeed. In school the students’ grades profit developed positively in some respects, but deteriorated in others and security has decreased both in primary and upper secondary school. The students’ knowledge acquisition and learning should be the main focus of the schools and the work on safe school environments needs to be intensified. The goal regarding the rate of preschool teachers was not met in 2018. Therefore, it is important to strengthen the quality

of pre-primary schools in Stockholm and to improve preschool teachers’ work situation to make it possible for the pre-primary school to maintain a high educational quality with security and care in a stimulating environment for children. The green-blue majority’s policy means more focus on the core areas of the municipal welfare, where the city’s efforts concentrate on its core businesses. This means quality initiatives in geriatric care and social services.

to environmental and climate issues, and the city has conducted several measures to increase accessibility and achieving climate goals. Stockholm has a fantastic nature and archipelago and the city has since a long time high environmental and climate ambitions.

The efforts to turn Stockholm into a city free of fossil fuel and to a climate- smart city within 2040 is in full swing. Stockholm ranks high among the index measuring sustainability linked

The City of Stockholm has got a new green-blue majority governance with the force of reform and a new political course. The majority’s vision for the 2020s is Stockholm as a modern and sustainable city where everyone can realize their dreams, a city where people want to live and develop with a mix of housing, job environments, nature, schools, pre-primary schools, sports and culture.

Anna König Jerlmyr Mayor of Stockholm

Magdalena Bosson CEO of Stockholm

The new direction that the majority has pointed out is to develop Stockholm into a more economic, socially and ecologic sustainable city.

PHOTO: LIESELOTTE VAN DER MEIJS

The City of Stockholm’s Annual Report 2018

PHOTO: ISTOCKPHOTO

Administration Report

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

Administration Report

Key events during the year

Decisions The Comprehensive Plan for the City of Stockholm has been adopted. ff The City of Stockholm’s security and safety program 2018–2021 has been adopted. ff Guidelines for fossil fuel-free organization in 2030 have been approved. ff The Action plan for social service work regarding families with children, living in precarious housing conditions 2018–2019 has been approved. ff The city’s program for alcohol, drugs, doping and tobacco policy in Stockholm 2018–2021 has been adopted. ff Guidelines for child safety in the City of Stockholm’s municipal pre-primary schools have been adopted. ff The Program for accessibility and participation for persons with disabilities have been adopted. ff

The Sweden negotiation’s metropolitan contract for Stockholm has been adopted by the parliament. ff Revised action plans against violence- promoting extremism has been approved by 19 committees. ff The City of Stockholm’s program for sports policies 2018–2022 has been adopted. ff The city of Stockholm’s strategy for active outdoor life 2018–2022 has been adopted. ff A strategy for a senior-friendly city has been adopted. ff A city program has been adopted. ff A strategy for public spaces has been adopted. ff Implementing decision has been taken for Primusparken, about 600 housings. ff Implementing decision has been taken for Stadshagen, 1,775 housings.

The decision for the development plan for a new bus terminal in Katarinaberget is final. ff The city’s freight traffic plan has been approved. ff The City of Stockholm and Stockholm University concluded in May a cooperation agreement on education, research and community development regarding the areas of climate, environment and social sustainability. ff Guidelines for the city’s work with national minorities and the Strategy for Romani Inclusion 2018–2022 has been adopted. ff The application to become an administrative area for Sami and Meänkieli has been granted by the Government Offices.

Specific salary efforts for social welfare officers and assistance officers and the security personnel in some neighbourhoods have been implemented. ff The city mapping of honour-related violence and oppression has been completed. ff Södermalm and Östermalm have taken over one health-and social care housing each, because the Inspectorate for health and care (IVO) rejected the company’s application to operate. ff The City Museum project “On the spot in Östberga” was awarded the prize “Best contemporary documentation of the year 2018” by the network DOSS – Documentation of contemporary Sweden – thanks to the project’s success in capturing the Östberga inhabitants’ involvement and interest in their own home environment. ff The project SUNE (the City of Stockholm’s procurement of a new financial system) was awarded the prize for the best business solution for the public sector in the prestigious competition European IT and Software Excellence Awards and the prize ff The business project of the year in both the private and public sectors.

Events The housing agency Bostadsförmedlingen i Stockholm AB has passed almost 13,500 apartments, which is the highest number in the company’s 70-year old history. ff All 1,607 new arrivals assigned to the city have received a housing. ff The city has every day of the year met the “A roof above your head” (TÖG) guarantee. ff Åkeshov swimming and sports hall was reopened in January. ff Hammarby IP reopened and meets the requirements for the renovation of the Damallsvenskan (Swedish female national league). ff Six school gymnasiums have been made available to the voluntary sector. ff The communication concept “Stockholm gym – open, free and everywhere” was launched during the year in order to get more inhabitants to move. ff 10,039 young people obtained holiday jobs in the city during the year. ff The Social sustainability commission has presented the report on socially sustainable housing provision. ff Three new domestic violence centres have been set up. ff

Skating day, Swim Open and Swim Open, Mini, Make friends with water, Everyone on the snow and drop-in activities are examples of activities that have inspired children and youth to increase physical mobility. ff The Culture Festival and the Youth Festival “We are Stockholm” set new attendance records with over a million visitors. ff The exhibitions on Liljevalchs art gallery generated a record of visitors with a total of over 330 000 visitors. ff Östberga cultural center, a multi-activity center with a library, opened on September 1st. ff Eight new activity centres were started during the year. The City of Stockholm now has a total of 18 activity centres around the city. ff The City of Stockholm received for the fifth year, Sweden’s best eco-car municipality 2017. ff Stockholm Tech Week was held in the autumn. ff A new direct flight between Shanghai and Stockholm started. ff During the year, Stockholm hosted Europride, DreamHack and the World Championships in synchronized skating. The City of Stockholm’s Annual Report 2018

Administration Report

Stockholm in the world Stockholm ranks high in international rankings and international statistics. The city has one of the highest GRP/capita and employment rates, a highly educated population and low emissions of carbon dioxide/person. Stockholm shows particularly good results in the index measuring urban sustainability, innovation capacity and digital development.

ranks the city third behind San Francisco and Berlin. In INSEAD’s Global Talent Competitiveness Index, Stockholm ranks second only to Zurich. The WSP’s Global Cities index in 2018, which considers how cities are ready to tackle the future challenges of the next two decades, the city ranked third after Seattle and Copenhagen.

Among index measuring sustainability linked to environmental and climate issues Stockholm ranks very high. Stockholm’s ports are ranked in the first place in both the Arcadis Citizen Centric Cities 2018’s subindex with focus on sustainability and in the Global Power City Index’ subindex of sustainability issues.

In 2017, Stockholm was ranked as Europe’s most innovative region by the EU Commission. The following year, the regional updating wasn’t done. However Sweden continued to be ranked as European leader in the sector of innovation 2018.

In the sectors of innovation and digital development Stockholm ranks among the leading cities in the world. The Global Power City Index subindex Startup Environment,

2018 Stockholm had one of the world’s … … highest GRP/capita. … highest employment rate. … best educated population. … lowest emissions of carbon dioxide per person.

One trend is that more and more cities are competing for the top rankings and there are small differences among the leading cities. This reflects the increased international competition between cities for investment, talent and tourism.

PHOTO: ANNA HUGOSSON

The City of Stockholm’s Annual Report 2018

Administration Report

Market analysis PHOTO: ISTOCKPHOTO

Global growth has passed its cyclical peak After several years of recovery in the global economy, the world economy has now entered a phase of more moderate growth. This is particularly evident in the euro area, where the GDP growth slowed down in 2018 and ended up at 1.8 percent, compared to 2.5 percent in 2017. A particular source of uncertainty is UK’s upcoming withdrawal from the EU. US growth has remained strong and overall the estimated growth in global GDP amounts to 3.6 percent in 2018. During 2019 and 2020, the global growth is expected to slow down somewhat, reaching 3.4 percent.1 The expansionary phase in Sweden is slowing down Also the Swedish economy is heading into a slowdown phase, but is, according to the National Institute of Economic Research, despite this expected to consist the next two years. The domestic economy has been driven by a strong demand for new housing and housing investment has remained at historically high levels. Since the beginning of 2018, housing investment has declined significantly and the decline is expected to continue during the year. In 2018, Sweden’s GDP is estimated to have grown by 2.3 percent, and GDP is expected to grow by 1.5 percent this year and 1.6 percent in 2020. Meanwhile, the labour market remains strong, the employment rate continued to increase in 2018 and amounted to 68.5 percent of the population (15–74 years of age). The unemployment rate amounted to 5.4 percent of the workforce, a decrease by 0.7 percentage points compared to 2017.

Figure 1 Payroll data, percentage change compared to the same quarter the prior year 9 8 7 6 5 4 3 2 1 0 -1

Stockholm The whole Country

FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER FISCAL QUARTER 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4

2010

2011

2012

2013

2014

2015

2016

2017

2018

Source: SCB payroll = number of hours worked x hourly salary

1 Economic Situation in March 2019, the NIER

The City of Stockholm’s Annual Report 2018

Administration Report

Figure 2 Employed as a percentage of the population aged 15–74, large cities 76 %

Labour shortage and the matching problems in the labour market slow down the decline in unemployment.

Stockholm Gothenburg The whole Country Malmö

74 % 72 % 70 % 68 % 66 % 64 % 62 % 60 % 58 %

2006 2007 2008 2009 2010

2011

2012

2013

2014

2015

2016

2017

2018

Sources: SCB/AKU

Figure 3 Employment Key to the city Performance indicators

2017

2018

Amendment

74.0 %

74.7 %

+0,7 p.u.

6.1 %

5.4 %

-0,7 p.u.

Enrolled unemployed (dec)**

19,692

18,844

-4,3 %

New vacancies (dec)**

16,348

18,969

+16 %

Start-ups***

14,302

12,809

-10 %

Employment rate, 15–74 år* Unemployment as a percentage of the labour force*

Sources: *SCB, **Employment Service, ***Swedish Companies Registration Office

Figure 4 Transfers to and from the City of Stockholm in 2018

The whole country

Stockholm County

8,333 18,717

18,344 Stockholm

20,557 33,767

Net migration of Stockholm*

Total

5,788

Whereof abroad Whereof other counties

10,384 2,213

Whereof County of Stockholm -6,809 * Migration minus emigration. Source: SCB/Sweco

The City of Stockholm’s Annual Report 2018

40,576

Signs that the economy weakens in Stockholm Growth in Stockholm remains strong. The payroll data, which is an indicator of regional growth, increased by 6.6 percent during the third quarter of 2018 compared to the year 2017, see figure 1 on the previous page. At the same time the Chamber of Commerce Tendency Survey for the fourth quarter of 2018 shows that the confidence among both households and businesses has weakened significantly recently. This is a sign that the economy could slow down in 2019. Stockholm Tendency Survey which is based on both households and businesses fell to 92.5 in the fourth quarter of 2018, compared to 103.7 the corresponding quarter of 2017. It is the lowest level in nearly six years. This means that companies estimate that the economy is worse than the historical normal levels, and households in Stockholm has a lower confidence in the economy than normal (100). The strong labour market continues A strong growth and a growing population in Stockholm provide conditions for a continued growing labour market. The number of employed aged 15–74 increased by 2.3 percent in Stockholm in 2018 compared to 2017. This is a higher growth rate than the previous year, and also a higher percentage increase than the national average, where employment increased by 1.8 percent. The employment rate, which measures the proportion of employed in percentage of the population is 74.7 percent, which is the highest level during the entire period series, as shown by Figure 2. While the employment rate rises also the unemployment rate in the city has fallen and the number of unemployed has decreased compared to 2017. The Employment Service’s forecast for 2019 shows that the labour market in Stockholm continues to develop strongly, with high demand for work force. At the same time the mismatch between employers’ demand and the work forces’ skills remains. Further, many registered unemployed have a weak position on the labour market. Unemployment is considerably higher among foreign-born persons, but the biggest difference in the level of unemployment is, however, between those with shorter or longer school education. Among those with

Continued high population growth Sweden’s population totaled 10,230,185 on December 31st, 2018, an increase of 109,943 people since last year. Stockholm County increased by 35,981 people to 2,344,124. This means that the county accounted for 33 percent of Sweden’s population growth, which is about the same level as in 2017 when the corresponding figure was 31 percent. The city of Stockholm had at the end of the year a population amounting to 962,154 and population growth amounted to 12,393 people. 13,011 children were born in Stockholm in 2018, which is 355 less than in 2017. The number of deaths in 2018 was 6,438, which was approximately the same number as in 2017, when 6,418 people died. Overall, during 2018 the birth excess compared to 2017 was reduced. Figure 4 shows transfers to and from the city of Stockholm in 2018. The total number of moves over the municipal boundary was over 140,000. The top arrow in the diagram shows foreign moves to and from the city of

Administration Report

962,154

primary education as their highest completed education, the level of unemployment is 17.8 percent. Upper secondary school is often a basic requirement of the county’s employers and the school education is an increasingly important part of labour market policy.

people lived in Stockholm at the turn of 2018/2019.

13,011

Children were born in the city during the year.

Stockholm, resulting in a positive net migration towards foreign countries corresponding to 10,384. The arrows in the middle show migration flows compared to other counties in Sweden (+2,213), and the bottom arrows show migrations from and to the rest of the county of Stockholm (-6,809). Moves to other municipalities in the Stockholm County have increased in recent years. One explanation may be the considerable construction of housings throughout the county in recent years and that the City’s share of the total construction now accounts for about 40 percent, compared to half of the amount just a few years ago. Moves into the city still consist largely of 20–30-year-olds.

Stockholm a more attractive place to visit One clear measure of value regarding Stockholm’s attractiveness is the tourism industry’s development. The year 2018 became a new record for Stockholm’s tourism industry with over 14.4 million guest nights in the county, of which 9.7 million in the City of Stockholm. These figures do not include overnight stays beyond statistics such as Air bnb and similar platforms as well as overnight stays by those visiting and staying with friends and relatives. Stockholm’s three largest groups of visitors, in addition to the Swedish one, that cover two out of three guest nights, are from the UK, USA and Germany.

PHOTO: HENRIK TRYGG

The City of Stockholm’s Annual Report 2018

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Organisation and Governance City of Stockholm Municipal commission companies

Municipal Group

The City’s operations

The City’s companies

Co-owned companies with no significant influence

External providers

SÖRAB (5 %)

Rinkeby-Kista District Council Spånga-Tensta District Council Hässelby-Vällingbys District Council Bromma District Council Kungsholmens District Council Norrmalms District Council Östermalms District Council Södermalms District Council Enskede-Årsta-Vantörs District Council Skarpnäcks District Council Farsta District Council Älvsjö District Council Hägersten-Liljeholmens District Council Skärholmens District Council Labour Market Committee Waste Management Committee Development Committee Real Estate Committee Sports Committee Culture Committee Cemeteries Committee Environment and Health Committee Service Committee Social Services Committee City Planning Committee Traffic Committee Education Committee Election Committee Elderly Services Committee Public Trustees Committee City Executive Board etc.

The above diagram illustrates the activities included in the City of Stockholm’s overall municipal operations at December 31st, 2018. The report classifies the legal entities in: ff group companies controlling or significant influence ff mission companies of the type second joint ventures or external providers

The City of Stockholm’s Annual Report 2018

Stockholms Stadshus AB Parent Company

AB Svenska Bostäder AB Familjebostäder AB Stockholmshem Bostadsförmedlingen i Stockholm AB Skolfastigheter i Stockholm AB, SISAB S:t Erik Markutveckling AB Micasa Fastigheter i Stockholm AB Stockholm Vatten Holding AB (98 %) Stockholms Hamn AB AB Stokab Stockholms Stads Parkerings AB Stockholm Globe Arena Fastigheter AB Stockholms Stadsteater AB S:t Erik Försäkrings AB Stockholm Business Region AB S:t Erik Livförsäkring AB Mässfastigheter i Stockholm AB (50.4 %) Stockholm Exergi Holding AB (50 %)

Muncipal Association

Storstockholms Brandförsvar, SSBF

Some municipal matters are handled by a different legal entity than the city. Listed below are the activities that are handled in this way, at what cost, and the proportion of the city's costs for the activity. In total, the City paid 19.2 billion SEK for external providers.

mnkr Political activity and joint administration

80.6

0.8

Individual – and family care 1,341.5

25.4

Infrastructure, urban environment, safety/security 1,620.7

58.4

Pre-school and after-school activity

3,485.0 40.5

Compulsory School

3,434.0 35.0

Secondary School Other educational activities Elderly care services

1,963.3

51.6

224.5 70.3 4,461.0

59.1

Support and services for people with disabilities 2,285.5

55.4

Leisure and culture/general leisure activities

158.7

8.2

Business, industry and housing

130.6

11.6

Administration Report

The City Executive Board’s supervisory duty Supervisory Duty means, according to Sweden’s Local Government Act’s definition that the municipal government will lead and coordinate the management of the municipality’s affairs. This applies both to the city committees and the city’s wholly and partly owned companies. As part of its supervision duty, the municipal government has examined the committees’ business plans including materiality- and risk analysis for

2018. In cases where the committees had set too low annual targets for the indicators, they have been asked to return with more ambitious values in order to secure the fulfilment of the Municipal Council’s annual targets. The supervisory duty was also exercised by the City Executive Board’s follow-up in fourmonthly reports of the annual report for the City. The City Executive Board shall annually decide if the wholly and partly owned

limited companies have conducted their business in accordance with the established municipal purposes and within the framework of the municipal authorities. The City Executive Board considers that companies in the Stockholms Stadshus AB Group, during the preceding calendar year have carried out an activity consistent with the stated purpose and under the framework of the municipal authorities.

Sound financial management Integrated management system – ILS All planning and monitoring is performed in accordance with the City’s governance model, ILS, integrated system for management and control of activities and economy. In support of the work there is a web-based tool (ILS web) used at all levels in the city.

Work with internal audit During the year, the city has developed the work with internal audit, in order to raise the quality of the work. The development focus has been on increasing the knowledge of internal audit, clarify roles and responsibilities and to improve the city’s documentation and monitoring of internal audit. The City Executive Office has updated the city’s implementation guidelines, among other things, to clarify the requirements for committees and companies. To simplify documentation and monitoring of the internal audit work in the ILS web, a development of the system has been initiated. Also training and workshops have been conducted for the city committees. Efforts to develop the city’s internal audit are underway in all City Executive Boards and companies.

The City’s vision The City Council’s orientation goals The City Council’s goals for the operational area The City Council’s indicators and activities

Complementary policy documents

In the budget for each year the Stockholm City Council decides orientation objectives, goals for the operational areas, indicators and activities that together measure the achievement of goals. The city council puts up an annual target for each indicator. The committees and boards embody the City Council goals for the operational areas by board-/company goals.

City governance according to ILS

Department objectives, indicators and activities The unit’s goals, expected results, approach and use of resources The unit’s results, follow-up and development

The City of Stockholm’s Annual Report 2018

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The City Council’s orientation goals The City Council has, in the budget 2018 decided on the following four targets: ff A Stockholm

that stands united ff An eco-smart Stockholm ff An economically sustainable Stockholm ff A democratically sustainable Stockholm The targets constitute the framework for the city’s management of the activities. The City Council’s target for the business objective embody the orientation objectives for the various activities in the city. For each goal there is a number of indicators and for each indicator an annual target has been set. The annual target is set on the basis of location, conditions and level of ambition and the level to be achieved each year. Assessment of achieved performance goals is based on outcomes for the City Council’s indicators and activities, whether committees and company boards have met their own targets, indicators, the extent to which they have implemented the activities they set out in their business plans. The assessment of goal achievement also takes into account other essential information regarding the operational area. Based on the above, an assessment of all the City Council’s operational goals has been made. The overall assessment is that the city has met the requirements for good economy management during 2018. A summary of the assessments is shown next.

The City of Stockholm’s Annual Report 2018

Municipal Group’s goal attainment for the year

The Municipal Group’s goal completion

A Stockholm that stands united

Partly

1.1

All children in Stockholm have equal and positive childhood conditions

Partly

1.2

Early social efforts create equal chances in life for everyone

Partly

1.3

Stockholm is a city with vibrant and secure city districts

Partly

1.4

Stockholm is a city with a high level of housing construction where all can live

Not

1.5

Stockholm has a rich offering of sports and leisure activities accessible to all

Completely

1.6

Culture and personal creativity are readily accessible to all Stockholmers

Completely

1.7

All elderly have a secure old age and receive good quality elderly care

Partly

An eco-smart Stockholm

Partly

2.1

Energy consumption is sustainable

Partly

2.2

Transports in Stockholm are environmentally adapted

Partly

2.3

Stockholm has sustainable land and water use

Completely

2.4

Stockholm’s ecocycles are resource efficient

Partly

2.5

Stockholm’s environment is toxin free

Completely

2.6

The indoor environment in Stockholm is healthy

Completely

An economically sustainable Stockholm

Completely

3.1

Stockholm is a world-leading knowledge region

Completely

3.2

Stockholm is a business-friendly city

Completely

3.3

More people work, have secure employment and support themselves

Completely

3.4

In Stockholm, it is easy to acquire education throughout life

Partly

3.5

The City of Stockholm’s finances are sustainable in the long term

Completely

A democratically sustainable Stockholm

Completely

4.1

Stockholm is a city with gender equality where power and resources are distributed equally

Completely

4.2

The City of Stockholm is a good employer with good working conditions

Completely

4.3

Stockholm is a city that lives up to human rights and is free from discrimination

Completely

4.4

Stockholm is a city that respects and lives up to children’s rights in accordance with the UN Convention on the Rights of the Child

Completely

4.5

Stockholm is a city where nobody needs to fear violence

Completely

4.6

Stockholm is an accessible city for everyone

Completely

4.7

Stockholm is a democratic city where the residents have influence

Completely

4.8

The City develops public procurement in a sustainable direction

Completely

A Stockholm that stands united The overall assessment is that the orientation goal has been met in part during the year. The assessment is based on the fact that of the seven underlying goals, two goals have been fully met, four partly, and one goal has not been met. All children in Stockholm should have good and equal living conditions. Preschool and school is fundamental for achieving this goal. The city has, during the year, continued the efforts to further improve and protect the quality of the city’s educational activities. Childcare guarantee in preschool has been met during the year and the monitoring of the activities shows generally a good target achievement based on the targets of the school plan. The Education committee has been working closely with the district committees to continue the efforts to increase the proportion of pre-school teachers through a variety of skills initiatives. In school the students’ grades earnings have developed positively in some respects. Above

all, the boys’ performance in class nine has improved. The percentage of those eligible for professional programs has increased among boys by 4.5 percentage points, at the same time as the proportion of qualified among girls has decreased by 0.8 percentage points. During the year, the boys’ average merit rating has increased, while the girls’ merit rating has dropped. In secondary school, the proportion of students who completed their education with graduation and the average rating scores continued to increase, as in 2017. The spread of differences between primary school results in class nine has decreased for the second year in a row, which is a possible break in the trend. Previously, the performance gaps between the city’s schools has increased continuously over a ten year period. During the year, the city has continued to develop prevention and early intervention for children and young people. Social intervention (SIG) and the school social teams

are examples of effective cooperation with the aim to provide an early and coordinated support. A large part of the preventive work is carried out in cooperation with the district administration where the child and maternity care, child and youth psychiatry and social services are included. Work against violent extremism has been strengthened during the year. The activity’s knowledge of violent extremism and radicalisation has been strengthened through training and mapping, and the city’s action plan against violent extremism has been revised. The work on safety and security has been a priority during the year, and the city has been working to increase safety and security. During the year, the city has established a safety commission, strengthened coordination with the police and started an activity with patrolling security guards. Special efforts have been made for investment measures that will contribute to increased safety in the urban environment. During the year, the inhabitant’s experience of safety increased The City of Stockholm’s Annual Report 2018

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PHOTO: ANNA ÅBERG

Fulfilment of the orientation goals

Administration Report

compared with 2017, and is again on the same level as 2016. The uncertain situation in the housing market is expected to affect the construction also in the city of Stockholm. A total of 5,031 housing constructions started during the year, representing a decrease of 34 percent compared with 2017. The uncertain market regards in particular condominiums. The pace of construction of rental apartment buildings has also declined, but not to the same degree. A total of 2,707 rental apartment buildings started during the year, representing a decrease of 10 percent. The city’s housing companies reported that the construction of a total of 1,444 rental units started during the year, representing a decrease of 18 percent. The city has worked to find appropriate housing solutions for new arrivals. The Social Welfare Committee continually reviews the existing premises that can be used to supply temporary accommodation, and hostel places have been procured for single households. As SHIS modular houses have been completed it has been possible for families as well as for single households to move quicker to apartments.

““

A large part of the preventive work is carried out in cooperation with the district administration where the child and maternity care, child and youth psychiatry and social services are included.

The city has for years developed sports and public health by developing a new sports policy and a strategy for active outdoor life in order for more inhabitants to become physically active. Investments have been made to increase swimming skills and to give young people a more meaningful leisure time by offering free activities during school holidays and targeted efforts towards, among others, young people with functional impairments. Several new sports facilities have been completed and the city has for years collaborated with the Stockholm Sport to increase the number of active club members. In the field of elderly care, the city’s user survey shows that 87 percent of the users are confident in the care they receive, which is equivalent to last year’s level. The city’s new approach to an elderly friendly city is the basis for further work to create an accessible and inclusive city with an environment that encourages an active lifestyle, during the whole lifetime. The city has continued to implement the mode of operation Safe recep16

The City of Stockholm’s Annual Report 2018

87 %

of the users of the elderly care are confident in the care they receive.

tion at home, so that more elderly people will experience a secure and safe discharge from inpatient care. Several activities, during the year, have received stars for the dementia care and become Silviahem certified. Furthermore, eight new activity centres adjacent to a senior housing started during the year. The mission of the Activity Centres is to provide activities and promote social interaction, combat insecurity and contribute to physical activity for those living in a senior housing and elderly people in the neighbourhood.

bodies reach good water status. Within the context of this work, proposals have been developed which also benefit biodiversity in the water areas. The city has also worked with preventive and careful operation to reduce the impact on land and water, including implementation of the pilot project with sustainable storm water solutions.

An eco-smart Stockholm The overall assessment is that the orientation goal has been met in part during the year. The assessment is based on the fact that three of the six underlying goals for the operational area are met completely and three partially met.

The city is working to reduce the environmental and climate impact from food and meals. During the year a series of measures have been implemented to allow for this, among these should in particular proposals for a city-wide food strategy, Strategy for good, healthy and climate-smart food, be mentioned. In addition, a revision of the guidelines for school meals in primary and secondary school was completed.

The City Council has allocated Climate Investment funds for measures which will contribute to the city’s ability to achieve the long-term goals to reduce climate-changing carbon emissions and a high level of preparedness for future climate change.

Through a systematic approach and through the supervision of, among others, the areas of noise, ventilation, moisture and radon, conditions for a healthy indoor environment that does not cause damage to human health are created.

A large part of the climate investment funds allocated in 2018 has been used for energy efficiency in the city’s operational areas, as changing to new appliances, LED lighting, electric bicycles and solar trash baskets. Also a plurality of projects for climate adaptation measures have been implemented, among others one at Rådmansgatans subway station.

An economically sustainable Stockholm The overall assessment is that the orientation goal has been met in part during the year. The assessment is based on the fact that of five of the underlying goals, four have been fully met and one partially.

The city has implemented a variety of measures to increase accessibility and to reach climate goals, such as designing the street area to improve it for pedestrians and cyclists, contribute to the expansion of public transport and make it more attractive, optimize traffic signals and signal systems to reduce standby time for priority traffic types, improve the control that traffic arrangement plans are followed so that traffic disruption is minimized and carry out the review of speed limits on city streets. In accordance with the city’s plan of action for good water, local actions have been developed in order to ensure that water

The city’s cooperation with Stockholm University and Södertörn University regarding the operational training for students in the pre-school and teacher programs has evolved. The collaboration aims to increase the quality of the operational training for students and to increase recruitment opportunities for the city. The city has continued its efforts to improve the business environment. Improvement of the city’s authority has been an important part. Several efforts are undertaken for more people to start businesses and to promote Stockholm as a Startup node. Eight jobs tracks have started to match the young and newcomers to the business needs of competence and the city has also been involved

The proportion of recipients of benefits to the city’s population has decreased during the year due to a favourable labour market situation as well as the city’s work with labour market initiatives. The city offers individualized labour market initiatives through Jobbtorg Stockholm. The number of households receiving social assistance in the city has decreased by 4.2 percent compared to 2017 and amounted to 13,966 during the 2018. To help reduce youth unemployment the city cooperates with the Employment Service to quickly offer work, training or work experience for unemployed young people. The city has for years worked with outreach activities, where especially young people who neither work nor study, and women far from the labour market have been reached and entered Jobbtorg. In 2018, just over 10,000 young people got summer jobs in the city during summer, autumn and Christmas holidays. The young people have worked in different activities, including elderly care, pre-school, summer camps or with the maintenance and cleaning of the outdoor environment. The city offers a wide range of adult education, of which a variety can lead directly to work. During the year the number of students in adult education increased. All students who met the admission requirement have been offered a place. During the year, the number of combinational training, where Swedish for immigrants, SFI, combined with training increased, and the number of professional specializations was extended. The city has a good budget control as all of the city committees reported a surplus of SEK 375 million after profit allocation. All financial annual targets have been met during the year. The city’s continued work on digitization and automation is a strategic issue that will contribute to make the city’s processes more efficient, and the life for inhabitants, businesses and visitors to be simplified. A democratically sustainable Stockholm The overall assessment is that the orientation goal has been met in fully during the year. The assessment is based on the fact that each of the eight underlying goals has been fully achieved. The City of Stockholm’s Annual Report 2018

Administration Report

PHOTO: JOHAN PONTÉN

in starting up Competence Arena Stockholm which aims to develop adult education in the region to better match the needs and selection. Collaboration is developed to strengthen the workplace and enterprise perspective in the urban development. In order to strengthen the local business community, the Stockholm Business Region AB has during the year, supported the district Committees.

Administration Report

The city has during the year, started to work to implement the Program for equality in Stockholm 2018–2022. The program’s focus areas are based on the six national gender equality objectives with an addendum dealing with the city’s welfare and service. All district committees have worked to support women’s organizations in collaboration with the civil society, including grants to the women organizations for efforts designed to enhance election participation and health promotion. During the year, the city has continued its efforts to be a good employer with good terms of employment, among other things through a broad investment in skills to develop and ensure competence in welfare professions. Sick leave among city employees has continued to decrease, more for women than for men. The work on implementing the program against domestic violence and honour-related violence and repression continued. During the year the city has established three new relationship-related violence centres that offer support and treatment for people who

exercise or have been victims of domestic violence and honour-related violence and oppression. User and citizen surveys have been used as a basis for preventing and combating discrimination. The city’s dialogues with groups who may be particularly vulnerable to discrimination have helped to increase knowledge of how treatment operations should be developed in order to be characterized by respect and equality. The city’s consultation with national minorities has helped to give minorities influence on how businesses develop efforts to meet national minority rights. The city has for years implemented Programs for children’s rights and interests in Stockholm city 2018–2022. The City Council adopted during the year The Program for accessibility and participation for persons with functional impairment which contribute to further strengthening and systematization of the city’s work in this field. Through user surveys within operational units in the field of functional impairment the city measures, for example, satis-

faction and experience of security. Generally, both security and satisfaction are high in all kinds of activities. This year’s user surveys anyhow show that male users feel more satisfied than women, and that men are generally more satisfied with their short-term housing and their daily activities than women.

““

Generally, both the safety and satisfaction are high in all activities.

Within the city’s purchasing and procurement area a purchasing council has been established. The Purchasing Council has a key role to enable a municipal/company-wide purchasing strategic coordination and monitoring of purchasing and procurement issues in the organization. The Purchasing Council manages, among other issues the prioritization and establishment of procurement categories.

PHOTO: ANNA ÅBERG

The City of Stockholm’s Annual Report 2018

The city has set financial targets to ensure a favourable economic growth over time. All financial targets are met 2018 The city net costs relative to tax revenues, government subsidies and equalization The measure stipulates that the city’s net costs in the long term cannot be higher than tax revenues, general grants and equalization. In the short term also the net financial income can be used to finance net operating costs. In 2018 the net costs of the activity make up 100 percent of the tax revenues, government subsidies and equalization. Including net financial income the net costs make up 96 percent. The goal is thus met in the short and long term. During the past fiveyear period, the net cost share of tax revenues, government subsidies and equalization has been on the border of the acceptable level. The year 2017 saw a slight decline, but in 2018 the use is again at 100 percent, which is not sustainable in the long run.

Equity ratio The equity ratio measures how much of the city’s assets are financed by the equity. The measure counts including pension debts, which according to the applicable accounting rules, for the most part is off-balance. The goal is that long-term equity ratio should not fall below 34 percent. In the short term, the value can drop to 30 percent. The equity ratio in 2018 was 35 percent, and the goal has thus been fulfilled. This is a decline since 2017 depending on an increase in debt. Capital as a proportion of net operating costs Increased investment volume means increased operating costs in the form of depreciation and interest. To ensure that these costs do not take an increasing share of the city’s total net operating costs a goal has been set up that these costs must not exceed 7 percent of the city’s net costs. In 2018 the capital cost’s share of the net operating costs amounts to 6 percent. The goal is thus met.

During the past five years the outcome has been stable at 6 percent. Budget control A good budget compliance is a prerequisite for a functioning financial control and thus good financial management. The budget control measures how well the financial management functions to given prerequisites in the budget. For the committees, the monitoring is performed of the operating budget, including capital costs, profit and the City Executive Board’s technical adjustments, budget adjustments and income transfers. The target for the budget control is that it, after and before technical adjustments, should not exceed 100 percent. The committees’ outcomes represent 99 percent of the budget and the objective has thus been fulfilled. Forecast safety The forecast safety describes the ability to assess deviations and to take action to keep

The City of Stockholm’s Annual Report 2018

Administration Report

PHOTO: LENNART JOHANSSON

Financial targets for the City

Administration Report

Profit/loss of the year for the Municipal Group

SEK

3,132

Figure 1 Goal attainement 2014–2018, %

Net costs/tax revenue, equalization, government subsidies Equity ratio including pension debt Capital as a proportion of net operating costs The committees' outcomes as a percentage of the budget The committees' outcome as a percentage of forecast in four-monthly report 2

within the budget. The forecast accuracy is measured as the difference between this year’s forecasts and outcomes, including capital costs, profit units’ results and the municipal technical adjustments. The outcome differs in 2018 with 1 percent from the ranking forecast and the target is thus met, see Figure 1. Profit for the Municipal Group Profit after taxes and financial results for the Municipal Group amounted to SEK 3,132 million (SEK 3,446 million), after inter company dealings, including dividend has been deducted. The Municipal Group’s results include the profit for the city, the Stockholm Stadshus AB and the result of the city’s other

2018

2017

2016

2015

2014

100

101

100

million

Profit/loss of the year for the City

SEK

3,176

million

companies not included in the Stockholm Stadshus AB. Profit for the year for the Stockholms Stadshus AB Group amounted to SEK 1,598 million (SEK 1,913 million).

to strengthen the subsidiaries’ capital and free up funds for future dividends of SEK 1.5 billion to the city according to the City Council’s budget for 2019.

Appropriations in the municipal group Net profit after the financial results for the Stockholms Stadshus AB amounts to SEK 1,897 million (SEK 2,331 million). The final accounts for the Stockholm Stadshus AB covered losses in certain subsidiary companies with a total of SEK 472 million (SEK 543 million). The dividend to the city in 2018 amounted to SEK 1,700 million. Appropriations for the Stockholms Stadshus AB are shown in Figure 2. In conclusion it can be noted that the group used the results available

Profit/loss of the year for the city The city’s profit for the year amounted to SEK 3,176 million (SEK 2,361 million). Capital gains and sales of development properties constitute the largest part of income, SEK 2,552 million. Large sales of land has taken place mainly in Hagastaden, but also in Hjorthagen and Liljeholmen. The final stage of sales in Botkyrka took place in 2018. Allocations to co-finance mainly infrastructure efforts have been made for SEK 506 million. The operations leave a surplus of

Figure 2 Appropriations in the Municipal Group thousands SEK

Paid group Received group contributions contributions

Shareholders’ contribution

Shareholders’ contributions obtained

Dividends from Stadshus AB Group

Dividends City of Stockholm

-1,500,000

1,500,000

Parent Company Stockholm Stadshus AB

56,915

Subsidiaries AB Svenska Bostäder¹

9,413

AB Familjebostäder¹

814

AB Stockholmshem¹

932

Bostadsförmedlingen i Stockholm AB Skolfastigheter i Stockholm AB (SISAB) Micasa Fastigheter i Stockholm AB S:t Erik Markutveckling

40,000 75,000

Stockholm Globe Arena Fastigheter AB

108,915

Stockholm Vatten och Avfall AB

1,815

Stockholms Hamn AB AB Stokab

205,000

Stockholm Stads Parkering AB

135,000

Stockholms Stadsteater AB

363,000

Stockholm Business Region AB S:t Erik Försäkring AB S:t Erik Livförsäkring AB Other companies Group adjustments Total

471,915

1) The dividend is attributable to § 3 General company legislation

The City of Stockholm’s Annual Report 2018

471,915

-1,447,026

1,500,000

Administration Report

PHOTO: GETTY

SEK 375 million, of which SEK 53 million refers to the district and SEK 322 million specialist committees. The tax revenues including government subsidies and equalization show a surplus of SEK 259 million. Profit for the year excluding non-recurring income from sales amounted to SEK 624 million (SEK -1,803 million). The surplus shows the operating result, that is, the part of the city’s ongoing operating expenses that are financed with current revenues such as tax, fees and government grants. Non-recurring income from sales have, in accordance with the city’s investment strategy, been used to finance the city’s investments. The city’s investment totals in 2018 to SEK 7.3 billion. The large volume of investment has not entirely been financed with own funds of the year, but parts of the city’s assets have been used. Self-financing rate is 85 percent (135 percent). Net income for the city, SEK million

Profit/loss of the year Less capital gains The provision Less dividends from Stockholm Stadshus AB Profit/loss excluding capital gains, dividends and non- recurrent cost

2018

2017

3,176

2,361

-2,552

-4,163

506

3,117

-1,700

-800

-570

515

The 2018 result, adjusted for non-recurring items and the dividend, is negative

Reconciliation with the balance requirement A reconciliation with the balance requirement will be made under the Local Government Act’s requirement of a balanced budget Chapter 11 § 5. The purpose of the balance requirement is to show that a municipality does not live beyond their means. Capital gains and other items affecting comparability, of non-recurring kind are excluded. According to the legal requirement, any revenue from the sale of development properties can be included in the balance requirement investigation as below. The city’s income adjusted according to the Local Government Act Requirements, shows that the city meet the requirement of balanced economy as the result is positive with SEK 2,613 million (SEK 828 million). Profit/loss for the year SEK million

2018

Profit/loss of the year

3,176

Less revenues affecting comparability Balance requirement result for the year

-563 2,613

The City of Stockholm’s Annual Report 2018

Administration Report

Budget Settlement In total the City District Council and the speciality committees report a surplus of SEK 375 million, including regulation against profit funds. For 2017, the corresponding surplus was SEK 725 million.

Overview of results (SEK million)

Result

Staff costs for the city have increased by 5.8 percent compared to the previous year. The number of full-time workers has increased by 1,415, which is a considerably greater increase than the previous year. Employer contributions for city staff show a surplus against the budget of SEK 0.2 billion. Tax revenues, equalization and government subsidies deviates totally with 0.3 billionSEK from the budget. Tax revenues were including final settlements SEK 0.1 billion lower than budgeted, mainly due to a lower final settlement for the 2017 tax revenues. Municipalities have been compensated for retired’s lower taxes, which allows that the adjustment against the state shows a plus value of SEK 0.3 billion. The city has obtained a construction bonus to stimulate construction, which gives a plus value of SEK 0.1 billion. Pensions Expenses for pensions in the income statement amounted to SEK 2,723 million, including net financial items (SEK 2,444 million). The largest increase corresponds to the costs for the change in the pension liability for, 44 percent, a negative budget deviation of SEK 0.1 million. The change is partly explained by the increase in income being lower in 2018 than in previous years. Wage increases, in combination with the lower rate of growth of the income base has resulted in more employees reaching the limit of the defined benefit pension, 7.5 income base amounts. Thus, their entire period of service in the city is founding for defined benefit old age pension. Estimated pension contributions, which constitute a percentage of the salary sum for the active personnel, are in line with the budgeted amount. The contributions will increase by 9.1 percent. Altogether the pension costs provide a small deficit against the budget. Local pension provisions beyond the municipal pension agreement, KAP-KL, is part of the pension liability. For employees born in 1986 or later, the defined contribution pension agreement, AKAP-KL, applies. Other employee groups fall under the agreement, KAP-KL. The indemnity bond for pension accrued up to 1997 amounts to SEK 16,736 million, including payroll tax, a decrease of SEK 169 million compared with 2017, a smaller decrease than expected. A continued

The City of Stockholm’s Annual Report 2018

Budgeted result Budget deviation

0 3, 176

Result

3,176

Budget deviations District Councils

Total budget deviation

Political activity and administration

City District Councils

IIndividual – and family care

-51

Urban environment

-14

Pre-school activity

Elderly care services

Care for the Disabled

-73

Leisure and Culture

Labour market actions

Financial assistance

-8

Other operations

Total

Spånga-Tensta

53 322

Financing

2,801

Total

3,176

Financing budget deviations Gains Tax revenue Provisions

2,552 259 -506

Payroll tax etc

162

Other

334

Total

Budget deviations District Councils Rinkeby-Kista

Facknämnder

2,801

0 1

Hässelby-Vällingby

Bromma

Budget deviations Specialist Committees

Kungsholmen

Social Services Committee

Norrmalm

Labour Market Committee

Östermalm

Elderly Services Committee

Södermalm

Education Committee

Enskede-Årsta-Vantör

Public Trustees Committee

Skarpnäck

Culture Committee

Farsta

Sports Committee

Älvsjö

City Development Committee

Hägersten-Liljeholmen

City Planning Committee

Skärholmen

Environment and Health Committee

Total

6 1

Transport Committee

110

City Executive Board

Real Estate Committee

Cemeteries Committee

Election Committee

City Archives

Service Committee

Audit Board

Total

322

Budget incl. adjustments

Outcome

Deviation from budget

City Executive Board, etc.

-9.1

-0.5

8.6

Service Committee

-2.5

-2.6

-0.1

-398.4

-302.6

95.8

-4.0

-6.1

-2.1

Development Committee

-3,555.3

-3,365.4

189.9

Development Committee

277.0

Committee

District Councils Labour Market Committee

-2,255.1

-1,978.1

Sports Committee

-63.3

-58.9

4.4

Culture Committee

-98.5

-68.1

30.4

Cemeteries Committee

-66.0

-58.6

7.4

-1.3

-0.9

0.4

Environment and Health Committee Social Services Committee

-4.7

-1.0

3.7

City Planning Committee

-3.0

-0.1

2.9

-1,644.2

-1,153.7

490.5

Traffic Committee Education Committee

-140.6

-138.6

2.0

Elderly Services Committee

-4.0

-3.8

0.2

Public Trustees Committee

-0.5

-0.3

0.2

-8,250.5

-7,139.4

1,111.1

TOTAL

The Municipal Group’s financial position

Financial markets

The City of Stockholm

External loans and investments 48,069 million SEK

Financial net assets, 14,589 million SEK

External companies

Corporate Group The companies deposit 8,667 million SEK The companies borrow 71,317 million SEK

External lending 18 million SEK

The Municipal Group’s internal transactions in SEK million

SEK million

Internal purchases which have been eliminated

4,182.8

the Municipal Group

Internal sales which have been eliminated

Internal receivables, excluding the Group account, which have been eliminated

Internal liabilities, excluding the Group account, which have been eliminated

4,182.8

1,611.8

reduction of the indemnity bond is expected in the years to come. Pension provisions are secured in the city’s assets. The Municipal Group’s investment activity Municipal Group gross investment amounts in 2018 to SEK 19,849 million (SEK 15,912 million). Gross investment for the Group, Stockholms Stadshus AB amounts in 2018 to SEK 12,582 million (SEK 10,874 million). The corporate group’s gross investments mainly consist of new production of housing, schools and infrastructure such as ports and facilities for water supply and sewerage operations. The city’s investment expenditure in 2018 amounted to SEK 7,349 million (SEK 5,908 million), which is a 24 percent increase compared to the previous year. Investment income of the year amounts to SEK 210 million (SEK 45 million). Net investment expenditures amounts to SEK 7,139 million (SEK 5,863 million), which is about SEK 1 billion less than budgeted. Compared to previous years, however, the implementation rate of the city’s net investments increased from 78 percent to 87 percent. The largest deviation corresponds to the Traffic Committee. The deviation is largely explained by the fact that the renovation of Sergels torg’s sealing layer could be carried out at a lower investment cost than budgeted. The project was completed in the summer 2018. The Development Committee’s investment expences differs marginally from the budget. The committee’s deviation for net expenditure is due to the fact that investment income in the larger projects is higher than budgeted. The Real Estate Committee’s discrepancy is explained by a number of real estate and sports investments deferred in time. The objective of the city’s investment strategy is that the self-financing rate in the long term should amount to 100 percent, while it may deviate in individual years. Self-financing rate in 2018 was less than 100 percent. Calculated on an average of the last five years the self-financing rate is of 105 percent.

Investments during a five-year period 2018 2017 2016 2015 2014

Gross investments per year billion SEK

7.3

5.9

5.8

Self-finance rate (%)

135

123

4.9

4.3

74 108

The City of Stockholm’s Annual Report 2018

Administration Report

Investments net expenditure per committee (SEK million)

PHOTO: LIESELOTTE VAN DER MEIJS

Administration Report

Employees Sick leave decreasing The City uses two methods to measure sick leave. First sickness leave is measured under the statutory requirement, and as an urban internal definition in the indicator Sick leave. The measurement methods have different qualities. Sickness absence in accordance with the statutory requirements provide a good snapshot of the level of sick leave and comparability with other local governments. Sick leave according to the City’s method of measurement provides a better picture of the development trend and is therefore a better basis for monitoring and analysis.

method. The city method puts sick leave in relation to the agreed working hours. The statutory report puts sickness absence in relation to regular working hours, which means that absence without salary, for example in the case of parental leave or leave of absence, is not included. The fact that absence without pay is excluded makes regular working hours less than the working hours included in the city’s internal measurement method. The consequence is that absence for illness according to the statutory figures must be higher than the city’s sickness absence indicator.

Unless otherwise stated, the data for absence due to illness in the city’s accounts are presented according to the city’s own measurement method. Statutory accounts of sick leave is based on a somewhat different basis than the city’s internal measurement

The total leave for illness measured according to the legal requirements in the period 2017 to 2018 has decreased by 0.1 percent from 7.1 percent to 7.0 percent. The proportion of total sickness absence lasting 60 days or more was 45.9 percent. The correspond-

The City of Stockholm’s Annual Report 2018

ing figure for 2017 was 48.5 percent. There is a reduction of 2.6 percentage points. Reporting of the city’s work in the work environment and health sector can be found in the section “Stockholm city is a good employer with good working conditions”. The city’s companies have a lower absenteeism than municipal committees. The companies are included in the total absence of 6.1 percent, which is a compared to 2017, when the total sickness leave was 6.3 percent. Employees in figures In December 2018, a total of 44,892 people were employed in the City of Stockholm. Of these, 41,936 were employed in the municipal committees and 2,956 were employed in the city’s companies. Three out of four employees were women. The adjacent table shows the number of employees by activity.

Administration Report

44,892 people were employed in the City of Stockholm in December 2018. This is an increase of

Approximately 3 out of 4 employees in the City of Stockholm are women.

1,318 people since 2017.

Sickness leave according to statutory requirements 01/01/2018 – 31/12/2018 Age Group

Sick leave as a percentage of normal working hours Share of total sick leave lasting 60 days and more

Total

Women

Men

–29

30–49

50–

7.0

7.8

4.7

6.1

6.7

7.6

45.9

Sickness leave according to the city’s method of measurement 01/01/2018 – 31/12/2018 Sick leave as a percentage of contracted working time

Short-term absence, day 1–14

Total

Women

Men

2.2

2.3

1.9

Long-term absence, day 15–

4.0

4.6

2.2

Total

6.2

6.9

4.1

Number of employees (with monthly salary) by activity 2018 Activity area

Women

2017

Men

Total

Change between the years

Political activity and joint administration

1,362

589

1,951

1,800

151

Individual - and family care

3,220

900

4,120

4,003

117

702

512

1,214

1,188

Pre-school activity and childcare

9,990

1,856

11,846

11,764

Education

9,025

3,676

12,701

12,459

242

Welfare services for the elderly

4,512

1,035

5,547

5,064

483

Support and services for people with impairment

1,646

578

2,224

2,161

Leisure and culture/general leisure activities

1,061

829

1,890

1,844

191

174

365

342

1,283

1,673

2,956

2,883

Total

33,034

11,858

44,892

43,574

1,318

Annual employees

31,986

11,483

43,469

42,133

1,336

Infrastructure, urban environment, protection

Business, industry and housing Other operations, special initiatives Stockholm Stadshus AB Group

In addition to the monthly paid staff have hourly paid staff worked corresponding to 3,367 annual work. The hourly paid staff work has increased by 9.3 percent compared to 2017. The figure refers only administrations, not companies.

The City of Stockholm’s Annual Report 2018

PHOTO: LENNART JOHANSSON

How the City is governed

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

Municipal Group Control Below is a description of the municipal group on the basis of areas of responsibility from January 1, 2019

How the City is governed

Election Committee

City Council

Audit board

City Executive Board

Committee

City Executive Office

Council of Mayors

Group Board of Directors

Stadshus AB

Mayor’s and Vice Mayors’ Offices

City District Councils

Specialist Committees

Executive Boards

City District Departments

Specialist Departments

Boards

The City of Stockholm’s Annual Report 2018

City Council The City Council is the City’s highest decision-making body. The 101 members are appointed after general elections, which are carried out at the same time as the national and county council elections. After the elections in September 2018 the majority is made up by the Moderates, Liberals, Green Party, the Center Party and the Christian Democratic Party in the city council with 54 seats against 47 seats for the opposition parties.

How the City is governed

The City Council sets goals and guidelines for the city’s operations. The matters the city council decides on are prepared by committees and boards. The City Council decides on tax rates, tariffs and fees, establishes the budget and the return requirements and goals and visions for the city committees and limited companies. When political decisions are implemented, this is done by the City Executive Board, municipal committees and companies, or by others on their behalf. The City Council usually meets every third Monday under the guidance of the presidency. The meetings are open to the public. The Council has its own auditors, city audit, which examines all municipal activities. The City Executive Board The City Executive Board speaks in all matters that the City Council decides on. The City Executive Board has the overall responsibility for ensuring that decisions are implemented and followed up. Among the City Executive Board’s general tasks are to lead and coordinate the management of the city’s

affairs and oversee the other committees and the companies’ businesses. The Board also handles the city’s financial management and long-term development The city council has 13 Members who represent both the majority and the opposition in the city council.

50 51 Of the total of 101 members of the City Council 50 were women and 51 men on 31 December 2018.

The City Executive Board has, after the election in 2018 a finance committee, an integration committee and a security committee. The city council has an administration, the urban management office, which aids in its assignment. The Executive Office has a key strategic role in the governance of the city. The office controls, monitors and develops the city’s finances and operations, is responsible for the policy decisions to be implemented, perform secretarial duties for the City Council and the City Executive Board and is responsible for registry and archives. The City CEO is the head of the Urban Management Office and is supported in the management function by two assistant city CEO:s.

Distribution of seats in the City Concil after the elections in September 2018.

Presidency S wedish Social Democratic Party 23 Moderate Party 22 Left Party 13 Liberal Party 10 Green Party 9 Centre Party 8 Sweden Democrats 8 Christian Democrats 5 Feminist Initiative 3

The City Council consists of 101 members. The Presidency consists of the President, 1st and 2nd Vice President.

The City of Stockholm’s Annual Report 2018

Mayors and Mayors’ offices Schools and Education Department Education and district-boards – Preschool. The School Department is responsible for control of the committees and boards organized under the Council of City Vice mayors. ff Vice Mayor for Schools and Education: Lotta Edholm (L)

Finance Department The City Executive Committee, the Finance Committee, Development Committee, the Service Committee, Election Committee, SDN overall and finances, Stockholm Stadshus AB, Mässfastigheter i Stockholm AB, Stockholm Business Region AB, Stockholm’s fire defence and other companies that do not belong to any other city vice mayor. The Finance Department leads and plans political action. ff Mayor of Stockholm: Anna König Jerlmyr (M)

Social Services Department The Social Welfare Committee, public trustees committee, district committees – financial assistance, individual- and family care, support and services for people with disabilities. The Social Services Department is responsible for control of the committees and committees organized under the Council of City Vice mayors. ff Vice Mayor for Social Affairs: Jan Jönsson (L)

Urban Construction Department Urban Construction Department, Micasa Fastigheter i Stockholm AB, Skolfastig

heter i Stockholm AB (SISAB), SGA AB, Stockholm’s hamn and Stokab. The Urban Construction Department is responsible for control of the committees and boards organized under the Council of City Vice mayors. ff Vice Mayor for City Planning: Joakim Larsson (M) Housing and Real Estate Department Real Estate Committee, cemetery committee, housing and housing agencies ad Bostadsfòrmedlingen i Stockholm AB. The housing and real estate Department is responsible for control of the committees and boards organized under the Council of City Vice mayors. ff Vice Mayor for Housing and Real Estate: Dennis Wedin (M)

Traffic Department Traffic Committee, the City Executive Board for Disability Affairs, Stockholm Stads Parkering AB. The Urban Construction Department is responsible for control of the

PHOTO: LIESELOTTE VAN DER MEIJS

Majority city vice mayor: Daniel Wedin (M) – Vice Mayor for Housing and Real Estate, Lotta Edholm (L) – Vice Mayor for Schools and Education, Jan Jönsson (L) – Vice Mayor for Social Affairs, Daniel Helldén (MP) – Vice Mayor for Transport, Anna König Jerlmyr (M) – Mayor of Stockholm, Erik Slottner (KD) – Vice Mayor for Elderly Care and Public Safety, Karin Ernlund (C) – Vice Mayor for Labour Market, Integration and Sports, Jonas Naddebo (C) – Vice Mayor for Culture and Urban enviroment, Katarina Luhr (MP) – Vice Mayor for Environment and Climate, Joakim Larsson (M) – Vice Mayor for City Planning.

The City of Stockholm’s Annual Report 2018

How the City is governed

After the election in 2018, ten vice mayors are part of the political organization. They are elected full-time by the City Council. Every vice mayor is responsible for a Department. The Department represents staff function to their city vice mayor, and prepare the matters to the City Council and the City Executive Board. There are also five opposition vice mayors. The vice mayors form together the council of the mayors offices. The joint effort is led by the vice mayor for finance who is chairman of both the council of city vice mayors and the City Executive Board.

PHOTO: LIESELOTTE VAN DER MEIJS

committees and boards organized under the Council of City Vice mayors. ff Vice Mayor for Transport: Daniel Helldén (MP)

How the City is governed

Environment and Climate Division Environment and Health Committee, the Stockholm Vatten och Avfall AB, Waste Committee and the City Board’s Council for Agenda 2030. The housing and real estate division is responsible for control of the committees and boards that report to the vice mayour. ff Vice Mayor for Environment and Climate: Katarina Luhr (MP)

City Council: 2nd Vice President Ann Katrin Åslund (L), President Cecilia Brinck (M), 1st Vice President Rana Carlstedt (S).

PHOTO: LIESELOTTE VAN DER MEIJS

Labour Market, Integration and Sports Division The Labour market committee, Sports committee, district committees – labour market measures, children, culture and leisure, Hotellhem Foundation in Stockholm and the City Executive Board’s integration committee. The labour-, integrations-, and sports division is responsible for control of the committees and boards thet report to the vice mayor. ff Vice Mayor for Labour Market, I ntegration and Sports: Karin Ernlund (C) Culture and Urban Environment Division The Culture Committee, district committeesurban environment, the Stockholms Stadsteater AB, Aesthetic Council. The culture and urban environment division is responsible for control of the committees and that report to the vice mayor. ff Vice Mayor for Culture and Urban enviroment: Jonas Naddebo (C)

Oppositional Vice Mayors: Jan Valeskog (S), Clara Lindblom (V), Karin Wanngård (S), Emilia Bjuggren (S), Olle Burrell (S).

PHOTO: LIESELOTTE VAN DER MEIJS

Elderly Care and Public Safety Division Elderly Services Committee, district councils - elderly care, the City Executive Board’s security committee, the City Executive Board’s pensioners council. The elderly and security division is responsible for control of the committees and boards that report to the vice mayor. ff Vice Mayor for Elderly Care and Public Safety: Erik Slottner (KD)

City Executives: Anna Håkansson – Vice CEO, Magdalena Bosson – CEO and Gillis Hammar – Vice CEO.

The City of Stockholm’s Annual Report 2018

PHOTO: ISTOCKPHOTO

How the City is governed

Day-to-day operations The daily operations are carried out by the City’s administrations and companies. These are led by politically composed committees and boards, which have the same proportionate mandate distribution as the City Council. The city council appoints the members. Information about the meetings and the minutes and acts are available on dokmeetings. stockholm.se Some of the operations in Stockholm are run as companies. Most are coordinated by the Group Committee in Stockholms Stadshus AB. The city is also active in a municipal union together with nine municipalities in the Stockholm region through the city’s rescue service, Storstockholm’s Fire Brigade. In addition, there are also a number of foundations that collaborate with the city and conduct business for the benefit of the city and its inhabitants. The City’s specialized committees have a municipal-wide responsibility for each activity. Each committee has an administration with officers who handle the daily work. The committee consists of politicians who have the ultimate responsibility for the operations unit.

Stockholm’s 14 district committees are responsible for a large part of the municipal services in their geographic area. While the city council allocates money and decides on the overall objectives and guidelines, it is up to each district to decide how the money should be allocated to meet the local needs of the district committee’s area. In total, the district committees are allocated about half of the city’s budget. The operations are mainly financed by municipal taxes and state grants, but also by a small portion of fees.

Resource allocation models The budget allocated funds to the district committees through a system adopted by the City Council. The resource allocations model is based on the district committees’ operational responsibility and population structure. The district councils are allocated resources in relation to the estimated need for public service and not to their actual costs. This gives the district the freedom to organize their own activities, as long as the goals and guidelines set by the municipal council are followed.

The Specialist committees are: ff ff ff ff ff ff ff ff

The Labour Market Committee The Waste Management Committee The City Development Committee The Real Estate Committee The Sports Committee The Culture Committee The Cemeteries Committee The Environment And Health Committee

ff ff ff ff ff ff ff ff

The Service Committee The Social Services Committee The City Planning Committee The Traffic Committee The Education Committee The Election Committee The Elderly Services Committee The Chief Guardian Committee

The City of Stockholm’s Annual Report 2018

Stockholm’s district committees

How the City is governed

1 Rinkeby-Kista 2 Spånga-Tensta 3 Hässelby-Vällingby 4 Bromma 5 Kungsholmen 6 Norrmalm 7 Östermalm 8 Södermalm 9 Hägersten-Liljeholmen 10 Skärholmen 11 Älvsjö 12 Enskede-Årsta-Vantör 13 Skarpnäck 14 Farsta

3 4

5 9

7 8

12 14

The district committees are responsible for, among other things, the following activities: ff ff ff ff ff ff ff

pre-school activity activities for children, culture and leisure elderly care Support and services for people with impairment individual and family care including social psychiatry urban environment activities financial assistance and labour market measures

The City of Stockholm’s Annual Report 2018

PHOTO: HELÉN PE

How the City is governed

The Commission for a socially sustainable Stockholm The Commission for a socially sustainable Stockholm was established in 2015 with the aim of analyzing differences in living conditions and suggest measures for equitable and socially sustainable development in the city. The work has been divided into four development areas; Labour and Entrepreneurship, Housing and urban environment, Democracy and security and Upbringing and education. In 2018, the Commission presented four final insights reports and a draft for the Roadmap for a socially sustainable Stockholm. The reports deals with issues such as support and protection from violence for children and young people, socially sustainable housing, security and collective abilities in residential

areas and the conditions for entrepreneurs in socio-economically disadvantaged areas. External and internal seminars have been organized to present the reports.

sion has in total developed 17 sub-reports with analysis and suggestions for strategies and measures to reduce differences in living conditions in each area of development. As a basis the Commission has commissioned independent researchers to produce scientific evidence reports to each interim report. Altogether 20 research reports have been developed. All interim reports and research reports are available on stockholm.se.

In addition to the Commission’s first report Stockholm, city of differences the Commis-

The City of Stockholm’s Annual Report 2018

PHOTO: STOCKHOLMS STAD

How the City is governed During Iceland’s state visit the President’s wife Eliza Reid and H.M. Queen Silvia attended a seminar on the Stockholm Public Library.

The City’s international work Stockholm is part of a global context. In order to realize the city’s intentions for a modern metropolis with opportunities and freedom for everyone, a sustainable growing and dynamic city with high growth and a financially sustainable and innovative metropolis of the future Stockholm needs to engage actively in international work, learn from others, be proactive and to be seen, be compared and cooperate internationally. To further enhance the utility of the city’s international work the all comprehensive city international strategy lies as a basis for all committee’s and company board’s international work. Important international contexts during the year participate in different international contexts with the aim to position Stockholm and to gain knowledge about how other cities are

The City of Stockholm’s Annual Report 2018

working successfully with the challenges that the city faces. At the political level, the city was among others represented at the EU Mayors’ Conference – Building urban defences against terrorism: Lessons learned from recent attacks, March 8, 2018 in B russels, Belgium, Seminar on Nordic Agenda 2030 and Urban Sustainable Development on 31 May 2018 Berlin, Germany, Latvia’s 100-year celebration July 8, 2018 in Riga, Latvia and EUROCITIES Annual

Conference on 28–30 November 2018 in Edinburgh, UK. In Stockholm, the year began with a New Year’s Day concert at which the diplomatic Corps where invited to participate to forge closer links with the city representatives. The city paid attention to the anniversary of the events on Drottninggatan April 7, 2017 through various events in which parts of the diplomatic corps were invited to participate. During the year the City Council presidency received 26 foreign ministers, ambassadors and presidents on a courtesy visit. 57 visitor’s programs were developed for the visiting mayors, business people, As well as foreign government and parliamentary representatives in order to position Stockholm,

SEK

million

received EU funding during 2018 which is an increase compared to 2017.

During EUROCITIES annual meeting in Edinburgh, November 30, 2018 the City of Stockholm was elected as president of EUROCITIES.

During the year, 41 representation receptions were carried out, eight of which were organized together with the Stockholm Region. As part of the city’s strategic efforts to stage the Figure Skating World Championships in 2021, a dinner was organized for the participants of the World Cup for synchronized figure skating. In cooperation with Sweden-India Business Council, a business event was organized on the occasion of the Indian Prime Minister’s visit to Sweden. Cooperation in international organizations and networks The City Executive Board was at the end of 2018 a member of 13 international organizations and networks. In one of the networks, EUROCITIES, the city acts as chairman. Municipal committees and boards were at the end of 2018 altogether, members of 84 international organizations and networks. Although these are as many as were reported in 2017, there have been changes. To achieve a higher degree of operational benefits many of the city’s administrations and companies during the year reconsidered, made and entered into new international contexts. During EUROCITIES annual meeting in Edinburgh, November 30, 2018 the City of Stockholm was elected as president of EUROCITIES. The Presidency, offers the city a unique opportunity to push EUROCITIES’ development in a direction that promotes the city’s interests at EU level. As chairman, Stockholm is the network face towards EU institutions in a time when much is at stake for Europe and its cities. The city’s involvement in the network aims to strengthen the city’s influence work towards the EU’s institutions, develop the city’s Euro-

pean network further and give the city more visibility at EU level. EU work The activities of the city of Stockholm is greatly affected by the various EU initiatives and therefore the city continued in 2018 to run actively influence work on issues to be decided at EU level. The influence work on the EU’s future budget framework and cohesion policy has been given particular priority during the year and the work has to a large extent been done in collaboration with other European and Swedish cities.

A modern, sustainable, innovative and dynamic metropolis requires new constantly evolving methods. Taking part in the EU project contributes to the development of business and skills development of the city’s employees by reconsidering and develop working methods and introducing new innovative solutions. In 2018 two new projects, co-financed from different EU funds and programs, were granted, with the city as project owner or project participant. In total, the city received about SEK 52 million of EU funding in 2018, which is an increase compared to 2017.

The City of Stockholm’s Annual Report 2018

How the City is governed

PHOTO: SANDY YOUNG

develop international contacts and exchange experiences. Iceland’s president and Italy’s president made state visits to Sweden, where the city contributed through field trips and networking lunches at the City Hall. Also the Duke and Duchess of Cambridge were received in an official visit in Sweden, where the city took part in several sessions.

The City’s quality work In all stages of life, residents in the City of Stockholm have the right to expect a good business for their tax money. Quality work in the city aims to develop and improve the quality of all activities. Satisfied users/customers are the focus of all development.

How the City is governed

To meet future challenges, it becomes even more important to also develop and promote the process of innovation. To achieve success in quality and innovation work it is in many cases, necessary to cooperate within a committee, between the committees and with external stakeholders. The city council describes in varied degree, the collaboration with others in order to develop quality and innovation. The following describes some of the progress made in the committees regarding quality and innovation. The questions are also illustrated in relation to the City Council’s goals for areas of operations. See for example the target Stockholm is a world leading knowledge region and the Stockholm City’s economy is long-term sustainable. Quality development Several committees describe how they work with the systematic quality control, which is based on the city’s integrated system for management and control and program for quality development. To develop and present clearer analyses of operational monitoring the Enskede-Årsta-Vantör District has initiated work with the council for the promotion of local analyses, RKA. Through the work, the control chain has been clarified, goal formulations improved and focus on analysis and results has increased. Several committees support and encourage the units to participate in the quality award. For example Enskede-Årsta-Vantörs urban district committee in 2018 adopted a plan to increase the number of participants and examiners, which among other things meant that units received support in connection with the writing of the business plan and the participating units were interviewed about the experience of participating. The Development committee has carried out a project to develop a quality system, in which the entire business processes are documented in a comprehensive way. Within Farsta District a plan for systematic quality work was developed where all units can monitor their processes, risk analyses, self-checks and measures planned for the year. The District has also established an internal quality management network to

The City of Stockholm’s Annual Report 2018

coordinate monitoring and analysis, learn from each other and exchange ideas between operational areas. The Culture Committee has carried out Våga Visa (Dare to Show) observations on two units within the Cultural School. The observations are carried out by educators from other culture schools in the county, as well as activity managers. By operating and class visits and interviews with students, staff, school management and parents the school gets a picture of the activities that they can use in the further development. In order to develop the quality and broaden the local cultural offer in the outer city, the culture committee’s Stockholm’s City Library carried out an investment in program activities during the summer 2018. The evaluations showed that it is positive to try new ideas and lessons learned can be used to improve the business next year.

““

The evaluations showed that it is good to try new ideas and lessons learned can be used to improve the business next year.

The Environmental committee writes that the base of quality work is highly skilled employees and the committee invests in both external and internal skills development in various forms. All the Service committee’s units conduct customer or citizen surveys. Improvement work is implemented methodically with the support of various methods and tools. Employees leave current proposals for continuous improvement, which are evaluated, prioritized and developed in the activity’s various process groups. Managers in Skarpnäcks District committee’s home care have visited other home care operators to learn from good examples regarding self-control and quality assurance. Kungsholmen, Rinkeby-Kista, Skarpsnäcks and Älvsjö district committees and the elderly service committee revised and developed during the year, the management of systematic quality work SOSFS 2011:9,

which applies to activities that provide health care, social services or activities according to LSS. Likewise, some committees revised procedures for handling comments and complaints and information and education about Lex Sarah was implemented. Innovation Stockholm’s Innovation Strategy provides a guideline for how the city will strengthen its innovation capabilities and promote innovation of managers, employees, and the city’s suppliers. At Stureby care and care homes in Enskede-Årsta-Vantör’s district service committee, the reality lab is a cluster for research, innovation and testing of products in order to develop the future of elderly care and a dignified weekend and everyday life for the elderly. Skarpnäcks urban district service committee has visited the reality lab, which has resulted in a focus on welfare technology. Enskede-Årsta-Vantör District service committee has for years conducted a focus on single women with children in Rågsved to become self-sufficient. The result of this work has led to the proportion of children in the current households to fall by 11 percent during the year. Among other things, job-oriented initiatives, combined with medical treatment could be offered in collaboration with the Region of Stockholm’s primary care. In addition, collaboration with the district, mothers has provided support in language training and reduced seclusion. The Real Estate Service committee in 2018 instituted an innovation group whose purpose is to monitor the outside world and to utilize and evaluate incoming innovations and proposals from employees as well as from external parties. The Sports Service committee participates in a project to create regional opportunities for sports that are not exercised in each municipality. The work is financed by Vinnova and led by the Stockholm Region. The service committee also had contact with the Stockholm Olympic Academy who wants to establish a test bed, an engineering test and demonstration environment, at a sports complex to strengthen the athlete’s ability to find improvements. The Culture Service committee: During the year, the City Archives participated in the city-wide development effort “To control for increased innovation capacity”, which, among other things, has resulted in an action plan to increase innovation capacity. The Environmental service committee participates in various projects in

PHOTO: MAGNUS NILSSON

How the City is governed

Winner of the quality award

Preschool class: Lär & Kan pre-schools, Bromma district service committee The class Support and services for people with impairment: Misa Bondegatan, daily activities LSS, private provider The class Elderly care: Nutrition Unit, Enskede-Årsta-Vantör District The Class Other activitiesr: IT-Unit, Traffic Service committee Honorable mention: The following activities received an honorable mention: Eriksdals skolan for its equality work. With the moti-

order to test and develop innovative solutions to create health and environmental benefits, such as the projects GrowSmarter, Civitas Eccentric, CLARITY, Drizzle and iWater. Skärholmen District has partnered with Stockholm Digital Care to design a test bed for the welfare technology of Satra care home. At the end of 2018, parts of the administration’s management team attended in AI World Conference & Expo in Boston. In Södermalm District service committee, the Child and Youth Unit participated in the “Webbkollen” which is a digital monitoring tool for achievements in the social child and youth care. The Service committee has also

vation that they conscientiously worked methodically and successfully with the inclusion and equality issues.

Renewal Award This year the renewal prize was awarded in connection with the Quality award: The Rinkeby model, preventive parenting support Rinkeby Kista District

St. Julian Award The St. Julian Prize is the City’s award for work that is done to include people with disabilities in society. The class Physical accessibility: Gustav Vasa church, Gustav Vasa congregation Class Available information and communication: The exhibition Mind, the Technical Museum Class Participation: MELO, Live Art Collective

Digitization Award This year the digitization prize was awarded in connection with the Quality award: Digital litter bins Norrmalm District

developed a model on how early violence prevention in the pre-school can be implemented. Evaluations show good results and other district service committees and surrounding municipalities are interested in the work. The Quality award The city’s quality award should stimulate and encourage activities, which are financed by the city, to develop their quality. At the same time the award gives the city the opportunity to highlight and disseminate best practice. The questions of the award provide a basis to develop the business. They have a clear focus on the benefits for the inhabitants of Stockholm, analysis of results for continuous improve-

ment, and the dissemination and exploitation of good practice. This year, 42 units participated in the award. It is the city’s examiners that assess the activities’ contributions. To work as an examiner gives you your own development for fiscal analysis and assessment. It also provides a broad knowledge and understanding of the city’s various activities. The examiners are trained annually in the evaluation methodology by the City Executive Office. In 2018, 78 examiners participated in the evaluation process. In addition to their mission as examiner on behalf of the award, they have been good ambassadors for development work in their own businesses.

The City of Stockholm’s Annual Report 2018

The City Council’s orientation goals 38

The City of Stockholm’s Annual Report 2018

PHOTO: ANNA ÅBERG

The City Council’s orientation goals

City Council orientation goals

The city has in 2018 worked according to the City Council’s four orientation goals: A Stockholm that stands united, an eco-smart Stockholm, an economically sustainable Stockholm and a democratically sustainable Stockholm. The City of Stockholm’s Annual Report 2018

PHOTO: ANNA Ă&#x2026;BERG

A Stockholm that stands united

A Stockholm that stands united Stockholm is a city that makes everyone grow. Here all the children and adults have faith in the future and opportunities to realize their life. Stockholm is a unified city that is full of life and movement in all parts of the city. The public welfare is a basic quality of life and so is the security for the inhabitants of Stockholm during all stages of life. â&#x20AC;&#x192; The overall assessment is that the orientation goal has been met in part during the year. The assessment is based on the fact that of the seven underlying goals, two goals have been fully met, four partly, and one goal has not been met.

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

All children in Stockholm have equal and positive childhood conditions De nya rubrikerna som lagts in, med utgångspunkt från måltabellen sid 14, har även ersatt den text som tidigare stod i detta stycke i faktarutorna:

The target of 140,000 new homes by 2030, is supplemented by the interim target 80,000 housings 2014–2025 The focus is climate-friendly rental flats at reasonable rents. Long-term sustainable urban environments contribute to equal opportunities for the inhabitants of Stockholm. The city planning shall take into account important green areas and ecosystem services and be permeated with a child and gender perspective.

Pre-school The City Executive Office considers that the objective of the activity area is partly met. The assessment is based on the service committee’s assessment of goal achievement and the outcome of the indicators. Four of the fourteen district service committees deem the goal to be completely fulfilled, and ten

judges that the target is met in part. Two of the City Council’s six indicators are fully met and four indicators partially fulfilled. The number of children enrolled in pre-school

The guarantee of admission in pre-school was met during the year. In 2018 almost 55,000 children attended pre-school in Stockholm, with about 60 percent in municipal pre-schools and 40 percent in independent pre-schools. See the table below. The number of children in pre-school has declined in nine of fourteen district service committees in comparison with the previous year. The decrease has occurred in the municipal pre-school while the number of children in independent pre-school has increased slightly. The largest percentage decrease occurred in Skärholmens and Södermalm District service committee area. The enrolment rate in pre-school for 2–5 year olds are at the same level as the preceding annual results, 94.6 percent, and the objective is partly met. The enrolment rate differs between the city district areas. The five district areas with the lowest enrolment rate are Rinkeby-Kista, Spånga-Tensta,

Figure 1 The number of children enrolled in pre-school between 2008–2018. 60,000

Totally Municipal operation Independent operation

50,000

Fulfilment of objectives for the year The annual objectives for three of thirteen of the City Council’s indicators were achieved fully and ten were achieved partially. Boards and company boards have essentially completed the activities they set out in their business plans. Due to the above, the business area target is deemed to be met partly in 2018.

Skärholmen, Östermalm and Norrmalm. The district service committees are working to increase the enrolment rate, including the introduction pre-schools and collaborations between open pre-school and pre-school. The proportion of satisfied parents of children in the city’s pre-schools has dropped by percentage points compared with last year to 85 percent. The target has been increased by 3 percentage points in comparison with the previous year to 90 percent. Quality in pre-school

The district service committees have for years been working systematically to ensure an equivalent pre-school, with high educational quality. The Quality indicator is a web based tool that is used by pre-schools to evaluate how well the school plan is met. The outcome of 3.5 is at the same level as last year and is generally a good target achievement based on the school plan’s target. In several parts of the city pre-school libraries have been created which has meant more opportunities to independent reading and reading aloud. The children and their guardians have, through the libraries also been able to take part of the new children’s literature and also been able to borrow book bags to inspire more reading at home.

40,000 30,000 20,000 10,000 0

Aims of the activity All children in Stockholm have equal and positive childhood conditions.

2008 2009 2010

2011

2012

2013

2014

2015

2016

2017

2018

The target for the number of children per group was met for the city as a whole and for the majority of the district service committees. The outcome for the number of children The City of Stockholm’s Annual Report 2018

A Stockholm that stands united

Children in families with financial assistance decreases The proportion of children living in families with financial aid has decreased for the city as a whole in comparison with the previous year, from 2.7 percent to 2.6 percent. In seven district service committees the result is on the same level as 2017. In three district service committees the proportion of children in families with financial assistance increased. The increase is mainly due to the fact that more arrivals in need of financial assistance have moved to the districts In four district service committees the proportion of children in families with financial assistance decreased. Spånga-Tensta is the urban district service committee where the outcome has improved the most, from 6.0 percent to 5.2 percent.

PHOTO: UTBILDNINGSFÖRVALTNINGEN

A Stockholm that stands united

per group is 15.2 and is in line with the previous year. Also the objective of the number of pre-school children per employee is met for the city as a whole, although the majority of the city service committees only meet the target in part. The outcome for the number of pre-school children per employee of 4.9 is slightly better than last year’s result of 5.0. In the efforts to consider minority rights and minority law, the city offers pre-school activity completely or partly in Finnish. In the majority of the district service committees there is a proven interest in early childhood education in Finnish. Skills provision and competence development

Fewer pre-school teachers are trained at the nearby higher education institutions than the city’s needs. This contributes to the goal of the proportion of pre-school teachers of the total number of employees not being met. The proportion of pre-school teachers in 2018, 38.7 percent, is in line with the previous year. The outcome has varied over the past five years and was at the most 39.2 percent in 2016.

The City of Stockholm’s Annual Report 2018

Total number of pre-school teachers of the total number of employees

2014

2015

2016

2017

2018

38.5 %

38.0 %

39.2 %

38.8 %

38.7 %

During the year several initiatives to strengthen the provision of expertise in preschool were implemented in the city. During the year, 60 employees without pedagogical undergraduate education completed their undergraduate education as a childcare workers at the secondary school Midsommarkransen. Another 60 employees have started the one-year undergraduate program in 2018. To meet the need for qualified preschool teachers and to provide career paths for permanently employed childcare workers, the city offers substitute compensation for permanent employed childcare workers who want to study to become pre-school teachers. During the autumn term of 2018, just under 300 people were present for substitute compensation, which is an increase compared to the previous year with 35 persons. Since 2017 the development project Education College is underway in order to get more young people to train as childcare worker.

The number of applicants for the child and leisure program at this year’s upper secondary education increased significantly and the number of admitted doubled. At the annual SETT Fair, a trade show for pre-school teachers and teachers in Scandinavia, the city’s stand was voted the best stand at the fair 2018. Independent pre-school

The inspection carried out during the year shows that children in independent educational activity generally learn and develop in a safe and educational quality. During the year the city has conducted more than 100 inspections of independent pre-schools and family day care (educational care), which is an increase compared to last year. The increase is due to a higher number of investigators and a more efficient inspection process. the proportion of orders, complaints and resignations are in line with last year. Also the number of complaints of perceived maladministration in the independent activity is on the same level as in 2017.

Primary and special primary schools, youth recreation centres, secondary and special secondary school The City Executive Office estimates that the activity area is partly met. The assessment is based on the Education service committee’s assessment of target achievement and the outcome of the indicators. All of the City Council’s six indicators are partially fulfilled. In the course of the year, the city has prioritized the work on student health, reception and teaching of newly arrived students, the quality of leisure centres, transitions between different schools and digitalization as tools for developing learning. The priorities is deemed to benefit all students, especially more resource-poor students.

In the autumn term 2018 there were approximately 76,000 students in the City’s municipal primary schools. The number of students increased similar to the previous year by about 2,000. In the municipal special primary schools there were about 740 students, which is an increase of 40 since last year. In the municipal recreation centres and leisure c entres, the number of students decreased since the previous year, with about 900 to 44,300 students. In the autumn term 2018 a total of approximately 37,100 students studied at high school in the Municipality of Stockholm, which is an increase of about 200 students in comparison with 2017. Of these students, approximately 21,000 were registered in the city of Stockholm and 16,100 were registered in another municipality. About 16,500 students studied in public schools and about 20,600 in independent schools, which means that the number of students has decreased by about 200 in municipal upper secondary schools and increased by about 400 in the independent upper secondary schools. At school start in autumn 2018 about 350 students were admitted to the upper secondary school in Stockholm. Of them nearly 60 percent started in public schools and 40 percent in independent schools.

In class six, the proportion who achieved proficiency in all subjects decreased from 81.5 percent to 78.7 percent (see Figure 2). The decrease is slightly higher among girls than among boys. The percentage of those eligible for professional programs and the average merit value has fallen, however, to a lesser extent. When comparing the grade measure, the number that achieved the knowledge requirements in all subjects between the area, Gothenburg, Malmö and Stockholm, Stockholm city schools show higher results. This applies to both when newly immigrated students and students with an unknown background are included and when they are excluded from the results. In class nine the proportion who achieved proficiency in all subjects has increased somewhat

About

76,000 students studied during the autumn term in the independent primary schools in Stockholm.

from 78.4 percent to 79.2 percent (see Figure 3). Also the average merit rating has increased, while the proportion of students who are eligible for national programs (excluding newly immigrated students and pupils with an unknown background) will remain at approximately the same level as 2017.

Figure 2 Rating measures, Year 6 all students

2016

2017

2018

Proportion of persons eligible professional programs (%)*

89.0

87.6

86.8

Percentage who achieved the knowledge requirements (A–E) in all subjects (%)

82.1

81.5

78.7 (77.1)**

Average credit value(16 subjects)

224

223

A Stockholm that stands united

The fulfilment of the targets has increased in some respects compared with 2018, although the city council’s goal is not reached completely. In ninth grade and in high school some positive developments of the rating results can be noted. The differences in grade results between the city’s schools in class nine show a positive development. The grade results in class six, however, has deteriorated and security has declined in both primary and secondary schools. In the primary school and in the upper secondary school, the respective student and parent surveys have been developed during the year and new methods have been used, which means that comparisons with the previous year should be made with caution.

Continued good grade results in the city’s schools, compared with the national average

* The rating measure percentage of eligible for professional programs is calculated in the same manner as in the ninth class, but students are not formally qualified for a professional program. ** National average, all principals, shown in parentheses in the year 2018. Source: Board of Education and the Education Committee, the City of Stockholm

Figure 3 R ating Results in year nine of the city’s public schools in 2016–2018 are compared between sexes and between the overall outcomes and national average. Rating measure, year 9

Proportion achieving the goals in all subjects, all students (%) Proportion achieving the goals in all subjects, excluding newly immigrated students and students with an unknown background (%)

2016

2017

2018

74.4

78.4

79.2 (75.6)

80.2

85.8

84.2 (80.1)

Girls

81.9

85.4

Boys

78.6

84.7

83.2

239

242

246 (229)

Average credit value (17 subjects) all students Girls

257

261

257

Boys

223

226

236

Average credit value (17 subjects), excluding newly immigrated students and students with an unknown background

255

256

255 (236)

Percentage competent for professional programs, all students (%)

82.4

84.7

86.9 (84.4)

Girls

88.8

88.2

Boys

77.1

81.1

85.6

Percentage competent for professional programs excluding newly immigrated students and students with an unknown background

92.5

92.3

92.1 (88.9)

* National average, all principals, shown in parentheses in the year 2018. Source: Board of Education and the Education Committee, the City of Stockholm

The City of Stockholm’s Annual Report 2018

PHOTO: EMILIA BERGMARK JIMÉNEZ

When newly immigrated students and students with unknown background are excluded from the measurement the results of the three rating dimensions decreased slightly compared to 2017. Figure 3 shows that the result differences in class nine between girls and boys were higher both in 2016 and in 2017 than this year. One explanation for the major differences in these years was the unusually large number of newly arrived students, where the vast majority were boys. This year, the differences between girls’ and boys’ performance declined. In two of the three reported gender divided rating measures boys’ results have improved, while girls has deteriorated in all of them (see Figure 3 on page 43). The city’s efforts to improve both the girls’ and boys’ performance continue. The Figure 3 on page 43 also suggests that the City’s schools have higher performance ratings in all rating measures when a comparison is made of the total outcomes. This is regardless of whether the newly immigrated students and students with an unknown background are included in the results or not. A Stockholm that stands united

In secondary schools, the proportion of upper secondary students who completed the training with a degree within three years has increased to 65 percent. The measure included students who started a professional program, a college preparatory program or introduction programs. The still doesn’t reach the national average which is 66 percent. The proportion of graduates within three years has increased in the past four years and the city schools have approached the national average. The difference between the students in the City’s schools and in the nation amounted this year to one percentage point, which is a historically low contrast. Also the average grade points increase in the city’s secondary schools. For students with a diploma, the average grade points increased from 15.6 to 15.9, which is higher than the national average of 14.8. The differences between the city’s primary schools continues to decline

Figure 4 Rating Results in Year 9 in Stockholm’s schools based on the school’s socio-economic index (quartiles)

Socio-economic Index

Percentage of competent to professional programs 2016 2017 2018

Average in all subjects (17 subjects) 2016 2017 2018

Quartile 1 (lowest)

92.0

91.8

93.0

87.0

88.2

88.4

267

266

Quartile 2

91.2

89.1

90.2

84.0

84.5

83.9

253

251

252

Quartile 3

76.4

82.6

79.8

65.4

75.0

70.9

217

231

228

Quartile 4 (highest)

60.8

66.1

73.8

48.8

52.5

57.2

184

193

209

Source: The Education service committee, City of Stockholm

Percentage who achieved knowledge requirements 2016 2017 2018

The City of Stockholm’s Annual Report 2018

265

Efforts to increase equity between the city’s schools continued during the year, including trying to create more heterogeneous student assemblies in schools. For the second consecutive year, the differences in results decrease between the city’s schools in class nine. Last year’s and this year’s decreased differences broke the trend. Previously, differences in grade- results between schools have increased in over a decade. The results for schools with students from less favourable socio-economic conditions have clearly improved in 2018. Also the differences in performance between schools with high and low results have declined. The fact that the differences in grading results between the city’s schools have decreased, both on the basis of high/low results and on the basis of socio-economic conditions, depends to some extent on the fact that the distribution of newly arrived students in the city’s schools have changed. Schools with more favourable socio-economic conditions, which usually also have higher results, have received a greater proportion of newly arrived students than before.

Percentage of children living in families with financial assistance

In all quartiles some improvements show in the results in comparison with 2017. However, it is only in quartile four that improvements show in all three rating measures, that is also where the improvements are greatest. Security and study environment

The percentage of students stating that they feel safe in school and in high school has dropped compared to 2017. In class eight security has dropped substantially, from 84 percent to 78 percent. The security has dropped among both girls and boys. Also in year two and five in primary school security has dropped among both boys and girls. In the secondary school security has

Annual targets

Total

Outcome Women

3.0 %

2.6 %

41 %

38.7 %

37 %

Men

Goal completion

dropped from 88 percent to 86 percent. In secondary schools, however, security has only decreased among girls, while it has increased slightly among boys. Results in the city’s user survey in 2018 was significantly lower in all or several issues and grades in comparison with 2017. The ongoing efforts to enhance security and promote the study environment, including through the creation of regulations with the students at all the schools, continues. In the special primary school and in the upper secondary school, the respective student and parent surveys have been developed during the year and new methods have been used, which should be kept in mind when comparing the results. The new surveys have contributed to the visibility of the education and development needs. In the primary school, the proportion who are satisfied with security and well-being has increased from 82 percent to 85 percent compared to 2017. In upper secondary schools, the proportion who feel safe in their school dropped from 81 percent to 71 percent.

Comments

A Stockholm that stands united

Indicator

Figure 3 on page 43 gives a picture of how the results from ten different schools in class nine varies depending on socio-economic conditions. Schools have been divided into four equal quartiles based on socio-economic index, where a higher index means that the school has worse socio-economic conditions. The outcomes are calculated as a school average and does not take into account how many students attend each school.

- Completely

PRE- SCHOOL

Total number of pre-school teachers of the total number of employees Number of children per group

2 % Partly

The outcome is in line with last year. Diversified efforts are underway to increase the proportion of pre-school teachers.

15.2

- Completely

4.9

- Completely

Percentage of satisfied parents

90 %

85 %

The enrolment ratio in the pre-school activity

96 %

94.6 %

- Partly

The outcome is in line with last year. The goal of the indicator has been increased by 6 percentage points compared with the previous year.

3.8

3.5

- Partly

The outcome is the same as last year. The indicator is based on teachers' self-assessment.

Percentage of students in Class 6 who achieved the goals in all subjects

84 %

78.5 %

81 %

76 % Partly

The outcome has declined by three percentage points compared to the previous year. The decline is seen among both girls and boys.

Percentage of students in Class 9 who achieved the goals in all subjects

80 %

79.2 %

80.9 %

77.3 % Partly

The outcome has improved compared to the previous year. The boys’ performance has improved by three percentage points. The girls’ performance has deteriorated by one percentage point.

Percentage competent for national programs excluding newly immigrated students and students with an unknown background

93 %

92.1 %

92.3 %

91.8 % Partly

The outcome is in line with last year.

Percentage of high school students who completed the program within three years

74 %

65 %

- Partly

Percentage of students in class 8 who feel safe at school

87 %

78 %

76 %

81 % Partly

The outcome has declined by six percentage points compared to the previous year. The outcome has dropped among both girls and boys. Diversified efforts are underway to increase the safety.

Percentage of high school students who are safe at school

95 %

86 %

89 % Partly

The outcome has declined by six percentage points compared to the previous year. The boys’ outcome has improved by one percentage point. The girls’ outcome has deteriorated by one percentage point. Diversified efforts are underway to increase the safety.

Number of pre-school children per employee (full-time workers)

Quality Indicator – Self-evaluation based on the study plan assignments

Partly

The outcome has declined by three percentage points compared to the previous year. Efforts are underway to increase satisfaction.

SCHOOL

The outcome has declined by two percentage points compared to the previous year. The city has approached the national average (66 percent). The gender breakdown outcomes are not available.

The City of Stockholm’s Annual Report 2018

PHOTO: ANNA ÅBERG

A Stockholm that stands united

Early social efforts create equal chances in life To prevent social problems the city’s activities should focus on prevention and early intervention. The social child and adolescent care and substance abuse care will be strengthened and social secretaries’ job situation will be improved. Measures against homelessness will be strengthened and the city’s action plan for the development of social psychiatry will be implemented. Increased collaboration pre-school, school, county and social services The city’s efforts to develop preventive work and early intervention for young people has continued during the year. Social intervention groups (SIG) and the School Social Teams are examples of collaborative work with the aim of achieving early and coordinated support, and during the year, for example, the work of school social teams with the assignment to provide support for students in class 4–9 who risk not to meet the knowledge goals continues. A large part of the preventive work is carried out in cooperation with 46

The City of Stockholm’s Annual Report 2018

the district administration where the child and maternity care, child and youth psychiatry and social services are included. Increased contact with sports clubs for young people through the Mission Mental Health The city’s efforts under the agreement that was concluded between the State and SKL regarding the Mission mental health continued during the year. One of the projects that have been funded through the Mission Mental Health is “Leisure in the center” which is a collaboration between the district

Aims of the activity Early social efforts create equal chances in life for everyone. Fulfilment of objectives for the year The annual objectives for eight of the City Council’s indicators were achieved fully and four were achieved partially. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met partly in 2018.

90% percentage of young people state that they do not use tobacco.

of Rinkeby-Kista and Enskede-Årsta-Vantör, the Social Welfare Service committee, the Sports Service committee and the Culture Service committee. Based on enabling more young people to get in touch with sports associations and taking part in the city’s cultural and leisure activities, the city has since 2017 employed special leisure guides. The project will finally be presented during 2019.

““

and participated in the development. One purpose of the revision was to strengthen child and family perspective, which was perceived favourably by the directors and officers of the district administrations. In order to capture both the individual’s and the assistance counselor’s experiences of the activity as a whole, the method support has been supplemented with questions about this. To strengthen children’s participation there are questions about how the child has been involved in the investigation meeting and the follow-up meeting. A Stockholm that stands united

Increased support for children with addicted parents The three-year project New roads has continued during the year. The aim of the project is that the pre-school should, to a greater extent, attract children who have parents with abuse and dependence problems, that more children should receive support, and that the structures for collaboration between pre-school and social services should be strengthened. New roads have completed their first project year with the district service committees Skärholmen and Skarpnäck. The district Enskede- Årsta-Vantör and Hässelby- Vällingby started their project year during the autumn. In total, five district service committees will participate in the project, implemented in collaboration with Ersta Vändpunkten.

The city has a new co-operation agreement with the Prison system, on the treatment of hospital stay and contract care. The social welfare service committee has participated in reference group meetings with the State Department Service committee and collaborates in a control group together with the police, the county council and the prison system linked to the law on the care of alcohol addict persons, in order to reduce deaths in arrest and to develop the work so that these persons should be given care. A large part of the preventive work is carried out in cooperation with the district administration where the child and maternity care, child and youth psychiatry and social services are included.

Strengthened child and family perspectives in social psychiatry In the revision of the method support DUR, documentation, investigation and results, four district administrations have tested

Indicator

Annual targets

Total

Outcome Women

Men

Goal completion

82.6 % Partly

Comments

Percentage of children and young people who have been involved in interventions within individual and family care and who are not involved 12 months after completion of the intervention

84 %

83.5 %

84.9 %

The outcome for the indicator developed positively in comparison to 2017.

Percentage of individuals who can do more on their own within social psychiatry

25 %

36 %

37 %

34 % Completely

Percentage effort/initiatives completed as planned regarding adult abuse

37 %

49 %

49 % Completely

Proportion of people with achievements in social psychiatry who are satisfied with how the investigation of their need for assistance was carried out

80 %

77 %

75 %

78 % Partly

Percentage of young people in the Stockholm survey that say they do not use alcohol

60 %

64 %

60 %

67 % Completely

Percentage of young people in the Stockholm survey that say they do not use drugs

91 %

89 %

91 %

88 % Partly

The outcome is worse compared to the Stockholm survey in 2016.

Percentage of young people in the Stockholm survey that say they do not use tobacco

90 %

87 %

89 % Partly

The same total outcome compared to the Stockholm survey in 2016.

The proportion of test apartments that have been transferred to their own contract related to the total number of test apartments in the service committee

26 %

31 %

The outcome for the indicator developed positively in comparison to 2017.

- Completely

All the committees have not registered gender statistics. Worse outcome than 2017.

The City of Stockholm’s Annual Report 2018

PHOTO: LIESELOTTE VAN DER MEIJS

A Stockholm that stands united

Stockholm is a city with vibrant and secure city districts Stockholm should be a city that sticks together, with vibrant and safe neighbourhoods. Particular focus should be placed on preventive measures against street violence and serious organized crime. Security work is developing, with the aim to coordinate and develop effective interventions for a safer city. The commitment to the local community should be protected. Stockholm’s inhabitants’ perceived feeling of security has increased The indicator The proportion who feel secure in the neighbourhood where you live increased by three percentage points compared to 2017. The outcome of 74 percent means the same level as in 2016. The annual target of 76 percent was not achieved fully. Increased security has been measured in 11 of the 14 neighbourhood areas, and particularly in areas that in 2017 had comparatively low outcomes. Neither women nor men should be hampered in their everyday life by an experience 48

The City of Stockholm’s Annual Report 2018

of insecurity. Earlier years, the percentage of who feel secure in their neighbourhood was slightly higher among men than among women. In 2018 this difference does no longer show at the municipal level. For both women and men, the outcome was 74 percent. In single neighbourhood areas, there is anyhow still a difference. Increased Satisfaction with cleaning and park management The Stockholm inhabitants’ satisfaction with cleaning and park management has increased compared to 2017. The outcome for the indicator the Stockholm inhabitants’

Goal for the area of activity Stockholm is a city with vibrant and secure city districts. Fulfilment of objectives for the year The annual objectives for all three of the city council’s indicators were partially achieved. The boards have essentially completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met partly in 2018.

satisfaction with maintenance of parks and green areas has increased by four percentage points and reaches 65 percent. The outcome for the indicator Stockholm inhabitants’ satisfaction with tidy and clean increased by three percentage points to 64 percent. The results has increased in the majority of the neighbourhood areas. The annual target, anyhow was not achieved fully. A security commission was established A security commission was established at the beginning of the year, which has obtained the information and knowledge of the city’s ongoing security work and urgent development needs from service committees and company service committees. The service committees had during the year the opportunity to apply for special funds for investments that contribute to greater security. A total of 16 service committees were granted investment funds for example for lighting measures, traffic barriers and street furniture.

The district service committees’ safety and security work is done largely through cooperation with associations, police, property owners and other local actors, including local crime prevention councils, social safety tours, and cooperation agreements with the local police organization. The city has for years developed an activity, using roving security guards. The guards have helped to establish law and order in the areas authorized by the police. The systematic work against violent extremism has been strengthened during the year. Revised local action plans have been decided by 19 relevant service committees. The efforts that were made during the year were mainly about competence-enhancing measures for the city’s employees regarding extremism and radicalization. The city also conducted a mapping of the needs and challenges of the social services in the city. The survey shows, among other things, that all social service activities can come into contact with individuals, families or relatives who in some way are linked to violent extremism or radicalization, and that employees need administrative support based on this.

During the summer, summer streets, summer squares and pop-up parks were organized in about 20 locations around the city.

Continued investments in a Living Stockholm and a Greener Stockholm The city has continued to develop the urban concept as a Living Stockholm. During the summer, summer streets, summer squares and pop-up parks were organized in about 20 places around the city, with a focus on culture and children’s needs for play and movement. Within the framework of Living Stockholm, planning principles have also been developed for Stockholm as a more attractive and vibrant winter city, which is implemented during the winter in a number of places. With the initiative Greener Stockholm, a continued development of the city’s green public environment is made possible, with special priority on the city’s outer areas. The initiative now includes more than 30 projects.

PHOTO: MATTIAS HAMRÉN

The City of Stockholm’s Annual Report 2018

A Stockholm that stands united

Working together for a safer and more secure city The joint work with the police continues to be developed with close collaboration both city-wide and locally. The city has, for example, started cooperation with the police to

increase the number of surveillance cameras linked to the police authority.

PHOTO: LENNART JOHANSSON

A Stockholm that stands united

Stockholm is a city with a high level of housing construction where all can live The city’s goal is that the pace of housing construction will increase with the focus on climate-smart housing at reasonable rents. 140,000 homes will be built from 2010–2030, of which 40,000 2014–2020. Rental apartments will be more in the entire city. The city planning shall create long-term sustainable urban environments that contribute to equal conditions and take into account green areas and the need for ecosystem services. Decline in housing construction The housing market has for some time been characterized by uncertainty, partly due to higher demands on constructors in lending and tighter mortgage rules. In 2018 this uncertainty broke through in the form of reduced residential construction, also in the city of Stockholm. A total of 5,031 housing constructions started during the year, representing a decrease of 34 percent compared with 2017. The target for the year of 7,000 were thus not met. The number of land allocation has been affected. A total of 6,404 land allocated hous50

The City of Stockholm’s Annual Report 2018

ings was a decrease of 26 percent, and the target 9,000 was not reached. The outcome of 4,101 land assigned rented apartments means that the annual target of 4,500 was partly achieved, and that the proportion of land assigned rental units amounted to 64 percent. The number of housings in the approved/ accepted detailed plans amounted to 6,974 units. This represents a decrease of 19 percent compared with 2017. The target for the year of 9,000 was thus not met. As a result of changed conditions in late stages, the adoption of a couple of major plans was postponed over the turn of the year.

Aims of the activity Stockholm is a city with a high level of housing construction where all can live. Fulfilment of objectives for the year The annual objectives for nine of the City Council’s indicators were achieved fully, two were achieved partially and six not at all. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered not to be met in 2018.

The long term goal of housing construction is 140,000 housings from 2010–2030. Since 2010, about 50,900 housing constructions were started. For the long term goal to be achieved an average construction rate of over 7,900 housings is required, per year for the remaining twelve years. The construction of rental apartments is less affected The uncertain market regards mainly newly constructed condominiums. The pace of construction of rental apartment buildings has also declined, but not to the same degree. A total of 2,707 rental units started during the year. This represents a decrease of 10 percent compared with 2017. The annual target of 3,500 was not reached. The goal is that at least half of the housing construction will consist of rental units. In 2018 the proportion was 54 percent.

Continued focus on housing at reasonable rents The city is working to reduce the cost of housing and to produce housing that more people can afford to demand for. A goal for the year was to land assign at least 300 homes in order to achieve reduction in housing costs. The outcome was 483 pieces. The projects are particularly within the Focus Skärholmen and Råcksta. AB Svenska Bostäder has, during the year made the first groundbreaking for Stock-

60,000 housings in different stages of the city planning process.

holmshus in Rågsved and plans for another Stockholmshus among others in Fruängen and Bandhagen. The company is also building a Stockholm House project in Tensta, which received state investment. Investment has also been granted for a project in Rinkeby. With the support a more reasonable rent for the accommodations is made possible. Also Stockholmshem AB and AB Familjebostäder builds and plans for further Stockholmshus, for example in Hammarbyhöjden, Kärrtorp, Hässelby, Rågsved and Kälvesta. Accommodation Solutions for all assigned to the city The city has continued the efforts to find appropriate housing solutions for new arrivals assigned by the Swedish Migration Service committee to Stockholm. The city continually reviews the existing premises that can be used for temporary housing, and single households are procured hostel places. As modular houses have been completed it has been possible for families as well as for single households to move quicker to apartments. Anyone assigned to Stockholm has been offered accommodation on short-term contracts.

In the Sweden Negotiation’s area of influence there are about 60,000 housing units at various stages of the city planning process, of which construction is started of more than 4,000 units. The target is 49,000 completed housing units by the year 2035. A New Master plan In February, the City Council adopted the city’s new master plan. The master plan has a central role in the city’s strategic work for sustainable urban development. Its implementation strategies designed aims for Stockholm to be a climate-smart, growing city with cohesive urban environments.

Annual targets

Outcome Total

Number of land assigned housings

9,000

6,404

Not

Reduced demand due to the uncertain housing market.

Number of land assigned rental apartments

4,500

4,101

Partly

Reduced demand due to the uncertain housing market.

Number of land assigned housings to the city's housing companies

2,250

1,049

Not

300

483

Number of housing of approved/accepted in the legally binding land-use plan

9,000

6,974

Not

Decisions on a few larger plans, including approximately 2,000 homes, has shifted over the end of the year, due to changed conditions in the late stage.

Number of housings in approved/accepted legally binding land-use plans in accordance with the 2013 Stockholm Negotiation

3,600

601

Not

Plan preparedness is not sufficient in the short term.

Number of started housings

7,000

5,031

Not

General decline in housing construction in Sweden.

Number of started rental apartments

3,500

2,707

Not

General decline in housing construction in Sweden.

500

450

Partly

Another approximately 100 apartments have been provided, which however have not been requested by the district service committees.

Indicator

Number of land assigned housings in order to achieve reduction in housing costs

Number of mediated test and training and housing first apartments via The housing agency (IoF)

Goal completion

Projects in the new subway area of influence For the year 2018 5,700 housings were started within the area of influence of the 2013 Stockholm Negotiation. Another 38,000 housing units are in various stages of the city construction process. Based on the goal of 45,900 completed housings by 2030, there is a need to fill up with additional projects.

Comments

Completely

The City of Stockholm’s Annual Report 2018

A Stockholm that stands united

The city’s housing companies AB Svenska Bostäder, AB Stockholmshem och AB Familjebostäder accounted for 40 percent of the total number of initiated rental apartments. The companies reported a total of 1,444 rental units started during the year. This represents a decrease of 18 percent compared with 2017.

In the Sweden negotiation’s area of influence there are about

PHOTO: GETTY

A Stockholm that stands united

Stockholm has a rich offering of sports and leisure activities accessible to all Sports and exercise should be accessible to all. The city’s efforts should be directed especially towards those who move the least, with investments in the suburbs and an increased focus on young girls and people with disabilities. The leisure activities must be open and attractive to everyone regardless of gender and the association life should be supported and given the conditions to grow. New sports policy In June, the City Council adopted unanimously a new sports policy and a strategy for active outdoor life. Both aim to encourage more locals to become physically active. The sports policy program states that the city will continue to broaden the range of sports and fitness activities. The City will be able to offer everyone the opportunity for physical activity, regardless of gender, age, functional impairment and foreign and socio-economic background. The goal of the open air program is to increase the proportion of inhabitants, exercising an active outdoor life and to improve conditions for outdoor activities. 52

The City of Stockholm’s Annual Report 2018

Available sports, leisure and recreation The city’s range of activities for sports and recreation should be broad and inspiring. The new communication concept “The Stockholm Gym – open, free and everywhere” has been launched with the aim of getting more Stockholm inhabitants to move. Drop-in activities and inspirational days for upper-secondary, secondary and special secondary school students are some of the city’s activities aimed at getting more people physically active. Physical activity on prescription, recreational guides and lending of equipment for spontaneous activity are other

Aims of the activity Stockholm has a rich offering of sports and leisure activities a ccessible to all. Fulfilment of objectives for the year The annual objectives for five of the City Council’s indicators were achieved fully and two were achieved partially. Boards and company boards have essentially completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met completely in 2018.

efforts designed to inspire inactive people to movement and exercise. The city organizes leisure activities for several target groups. Many park games offer staffed open activity. Several district councils have arranged dialogues with young people to develop the activities at the leisure centres. The city has received state aid for holiday activities and has therefore been able to offer an even greater range of summer holiday activities, as sport camps, day camps and festivals. In many cases, the activities have been organized together with the associations. The city’s overall network Leisure for all works to get children and young people with physical impairment more physically active.

3,000 students in pre-school during the year were offered free swimming school.

World Championships in synchronized figure skating was held in Stockholm and one of the goals was to attract to movement. In connection with the event skating schools offered, integration projects and test activities. Skate today, Swim Open and Swim Open Mini and Everyone on the snow are examples of efforts in the city that has inspired children and youth to increase physical mobility.

Sport as experience and inspiration Sports events are an important source of inspiration for children and young people.

Club activities will strengthen public health The city cooperates with Stockholm sports to increase the number of club members. The ports coordinators and to include the sports activity in the work of the local development plans are two efforts. During the year the city has participated in the project Young on the way together with Save the Children and Stockholm Sport. The project aims to make refugee youth become leaders. The initiative Be friend with water, which aims to increase swimming capacity and reduce drowning accidents, has been completed and has been a wide-ranging cooperation with the city, Stockholm’s fire defence and several swimming clubs. The city has also given grants to non-profit organizations that targeted to the elderly.

Indicator

Annual targets

Total

Outcome Women

Men

Goal completion

Comments

The proportion of young people (10–17 years) who feel that they have access to meaningful sports and leisure activities

79 %

73.4 %

71.5 %

76,1 % Partly

The result is based on a school survey, which generally have a lower result than in previous years.

Young people’s satisfaction with the access to sports facilities

73 %

68,7 %

67 %

71 % Partly

The result is based on a school survey, which generally have a lower result than in previous years.

90,000

90,597

Utilization of large sports halls (20x40)

88 %

95.5 %

Stockholm inhabitants ‘satisfaction with the City’s sports offer

74 %

80.5 %

Number of booked hours in school gyms outside school hours

Completely Completely 83 %

80 % Completely

The City of Stockholm’s Annual Report 2018

A Stockholm that stands united

PHOTO: LIESELOTTE VAN DER MEIJS

The hot summer attracted a lot of people to the city’s outdoor pools and the opening hours were extended. During the year, the city has taken a comprehensive approach to all children born in 2011–2012 who attend school in the city to make them used to water. During the year, the city received state support to expand the free swimming school and has offered swimming school to 3,000 students in pre-school. The city also lowered the fee for swimming lessons at swimming pools in areas where swimming skills are lower.

More facilities and areas for physical activity Stockholm will have a wide range of surfaces for sports and recreation. The city continues record investments in sports facilities. During the year, several facilities were completed. Åkeshov swimming and sports hall was reopened in January. Hammarby IP reopened after the renovation and is a modern Swedish Championship arena for women’s football. Several parks and playground activities have been renovated. A number of artificial greens have been implemented and several existing plans have received new artificial turf. The city is also working to use existing facilities more efficiently and has therefore made six school sports halls available for associations.

Culture and personal creativity are readily accessible to all Stockholmers Stockholm’s access to culture and personal creativity will increase, and the librarys’ role will be strengthened. The local culture life will be promoted, especially in the suburbs. The city’s museums will be available for all by low or no fees. Through investments in culture and school culture in schools, all children and young people will be able both to create themselves and share professional culture. generated a record of visitors with a total of over 330,000 visitors. Local initiatives Two new community halls have received support and started its operations. It’s Park Älvsjö and Sköndals community center. The development of the activity in Rinkeby Folkets hus is ongoing with a broader financing through support from the Arts Council Program, Creative places. Local cultural centres are being developed in collaboration with the city district service committees Farsta, Skarpnäck and Enskede-Årsta-Vantör. Östberga culture house, a community center with

Aims of the activity Culture and personal creativity are readily accessible to all Stockholmers. Fulfilment of objectives for the year The annual objectives for three of the City Council’s indicators were achieved fully and two were achieved partially. Boards and company boards have essentially completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met completely in 2018.

PHOTO: ANNA ÅBERG

A Stockholm that stands united

Increased satisfaction with the city’s cultural life The positive trend of the experience of culture in the own districts continues, according to the citizens’ survey. The percentage of satisfied people increased by 3 percentage points to 55 percent. The survey also shows that the experience of access to venues increases slightly. Number of visits to the city’s community centres are unchanged at approximately 1.9 million. Overall, a large proportion of Stockholm’s inhabitants are satisfied with the city’s cultural life (88 percent), a slight increase compared to 2017. The exhibitions on Liljevalchs art gallery

The City of Stockholm’s Annual Report 2018

88 %

Overall, a large proportion of Stockholm’s inhabitants are satisfied with the city’s cultural life (88 percent), a slight increase compared to 2017.

PHOTO: ANNA ÅBERG

a library, opened on 1 September. El Sistema Stockholm have created local music scenes through its music meetings in Skärholmen, Kista and Farsta Bredäng. Increased presence of culture in the public space The presence of culture in the public space has increased. The Traffic Service committee has, in collaboration with a number of district service committees, decorated subways in the suburbs with art.

A Stockholm that stands united

Stockholm art has, during the summer contributed with three art events in the project Living Stockholm in cooperation with the Traffic Service committee. Beth Laurin’s sculpture “Upwards” has stretched out its arms to everyone who passed the city’s summer market in the intersection Bergsgatan and Scheelegatan, Ljudbänken has sent out four works by students at the Royal Music College and a mobile gallery has appeared in several locations. During the year, work has been done to renovate and develop the Culture, the Civic Hall and City Museum. The City Archives is planning to move to Liljeholmskajen where the City Archives is planning to establish an attractive and interesting meeting place with focus on Stockholm’s building development trend. Collaboration takes place among others with the City Museum, the Royal Institute of Technology School of Architecture and Ark- Des (architecture and design center). More visits to the City’s libraries In 2018 nearly 11 million visits were registered at Stockholm’s Public Library, which is an increase of nearly 7 percent compared to 2017. The digital visits increased by 10 percent in 2018 compared with the period in 2017, an increase of more than 500,000 visits.

Indicator

Annual targets

Total

Outcome Women

Men

Goal completion

Comments

The Stockholm inhabitants’ satisfaction with municipal cultural institutions

81 %

85 %

The proportion of young people (10–17 years) who feel that they have access to meaningful culture activities

74 %

69 %

66 %

72 % Partly

A decrease compared to 2017. The decline is greatest in year 2 at the high school.

4.8

4.6

63 %

31 % Partly

The number of loans increased by about 3 percent to a total of 4.4 million, corresponding to 4.6 per inhabitant.

Total number of loans in public libraries per capita

Completely

The City of Stockholm’s Annual Report 2018

All elderly have a secure old age and receive good quality elderly care All locals should feel security for old age. Elderly care should be equal, accessible and equitable. All older have the right to safe housing and every day life of good quality. The right to self-determination is fundamental, and the elderly shall be able to influence both the content of care and the providers. Secure conditions for staff is essential for an activity of high quality.

A Stockholm that stands united

Stockholm city – a senior-friendly city The City Council decided in 2018 to approve the Strategy for a senior-friendly city – a basis for programs which is an a basis for further work for an elderly-friendly city. The strategy’s approach is to create an accessible and inclusive city with an environment that promotes an active life, during the whole life.

activities in cooperation with the City Library and much more.

Stockholm City co-founded The European Covenant on Demographic Change which is a network aiming to promote elderly-friendly cities in Europe. The work is linked to the World Health Organization (WHO) and as a member the city has committed to follow the model that WHO has developed to create a senior-friendly city.

Safe reception in the home is an approach that continues to be implemented in the city during the year. The aim is that the elderly people should experience a secure and safe discharge from hospitalization. In practice this means that a team of assistant nurses meets up in the home when the elderly are discharged from hospital to support and help the person based on individual needs. The new law on discharge from institutional care involves closer cooperation between the city and the primary and inpatient care.

More Activity Centres in the city The mission of the Activity Centres is to provide activities and promote social interaction, combat insecurity and contribute to physical activity for those living in a senior housing and elderly people in the neighbourhood. For more elderly to be able to participate, this year eight new activity centres next to a senior housing were started, which means that there are now a total of 18 activity centres around the city. At the city’s activity center, leader-led gymnastics passes, café activities, theme dinners, qigong, bingo and party games have been carried out. Also a spring and autumn party, LGBTQ-week in connection with EuroPride, drop-in with visual and hearing instructors and bus trips to excursion destinations around Stockholm. The city’s activity center has also offered cultural activities such as musical performances, dance, theater performances,

““

The National Board’s annual service user survey shows that 87 percent of the city’s users are confident with their elderly care.

The City of Stockholm’s Annual Report 2018

Safe receiving in the home The National Board’s annual user survey shows that 87 percent of the city’s users are confident with their elderly care. The outcome is in line with last year.

An equal treatment for elderly people In 2018 it has been possible to produce outcomes for women and men in five of six indicators. What is evident from a gender equality perspective is that there are marginal differences between women’s and men’s experience of their elderly care. The proportion of residents in nursing and care homes who experience that the meal is a pleasant moment of the day and feels that the opportunity to come outdoors is good, are the indicators that deviate somewhat as women experience it more positively than men. An innovative and creative elderly care Welfare technology can contribute to a meaningful life for the elderly. In the city, a close collaboration with Stockholm Digital Care has been initiated to drive the development with welfare technology at the district service committee’ health and care homes. Several workers in elderly care will also continue to participate in the project Idésluss to improve the conditions for innovation and

Aims of the activity All elderly have a secure old age and receive good quality e lderly care. Fulfilment of objectives for the year The annual objectives for one of the City Council’s six indicators were achieved fully and five were achieved partially. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met partly in 2018.

creative ideas. By giving space for creative ideas to create new tools, which in turn provides greater security, freedom of choice and the possibility of activating the elderly. In the city’s activities there are for example, rocking chairs specially adapted for people with dementia, robot cats and technology to be able to ride in the digital environment. The city is moving towards a Star awarded and Silviahem- certified elderly care More and more employees in the city passed in 2018 the training Star awarded to develop skills, working methods and treatment of people with dementia. This has meant that more activities in the city received a Star awarded dementia care. The training model was developed by the Swedish Dementia Center. Several activities in the city have also received a Silvia Hem certification during the year. This has been made possible by staff trained according to the Silviahem’s health philosophy. This training aims to strengthen employees’ skills, among other, regarding ageing, dementia, treatment and communication.

PHOTO: ISTOCKPHOTO

A Stockholm that stands united

Indicator

Annual target

Total

Outcome Women

Men

Goal completition

Comments

Percentage of satisfied care workers in elderly care

85 %

83 %

82 %

83 % Partly

Percentage of secure care workers in elderly care

84 %

87 %

86 % Completely

Percentage of care recipients who feel they can influence how aid is carried out in the elderly care

85 %

78 %

77 % Partly

Deterioration of one percentage point compared with 2017. The city’s work with framework time is still under development and is an important part to improve the result.

The proportion of residents in nursing and care homes who experience that the meal is a pleasant moment of the day

72 %

66 %

67 %

64 % Partly

Deterioration of one percentage point compared with 2017. The meal is a priority development area for the district service committees.

Number of staff, a home care recipients with at least two visits a day faces in a 14-day period

Maximum 10 people

11,7

Partly

Results 2017: 10.9. The city is working to increase staff continuity by, among other things, improving the scheduling.

56 %

53 %

Proportion of residents in nursing and care homes who feel that the opportunity to get outdoors is good

54 %

51 % Partly

Deterioration of one percentage point compared with 2017. Mainly the satisfaction in nursing and care homes need improvement.

Deterioration of two percentage points compared with 2017. Possibility to open air is a priority development area for the district.

The City of Stockholm’s Annual Report 2018

PHOTO: STOCKHOLM VATTEN OCH AVFALL/LASSE BURELL

An eco-smart Stockholm

An eco-smart Stockholm Stockholm will intensify the transition to becoming a sustainable city with high ambitions within climate and environment. Energy, traffic and urban planning shall promote sustainable development and protect ecological contexts and local nature in the city. Walking, cycling and public transport should be a horizontal priority. All city activities shall be based on the goal of as little environmental impact as possible. â&#x20AC;&#x192; The overall assessment is that the orientation goal has been met in part during the year. The assessment is based on the fact that three of the six underlying goals for the operational area are met completely and three partially met.

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

Energy consumption is sustainable The City of Stockholm will become a fossil fuel free city no later than 2040. Sustainable energy use aims to reduce climate impact, make use of energy more efficient and to convert to more renewable energy. The city’s growth creates a demand for more energy while the city’s increased density provides conditions for energy-efficient housing and sustainable transport. Sustainable energy use aims to streamline the use and conversion of renewable energy, thereby reducing the climate impact. The city’s work for sustainable energy use is important for the city to achieve the goal of being a fossil-fuel-free city by 2040.

Energy efficiency improvements in the activity The city has been working hard with energy efficiency in all operations. The city’s companies have worked to build energy efficient and implementing systematic energy efficiency improvements in maintenance projects. In new construction and refurbishment energy-efficient systems and optimization opportunities are required which is reviewed in connection with the project. During the year, the city has, in occasion of land allocations, continued to set requirements that the energy use in newly produced buildings is at the highest 55 kWh/m2 and in the city’s environmental profile areas, the goal is to strive towards 45 kWh/m2. As a result of the work regarding energy efficiency, the city’s companies shoe a positive downward trend in energy consumption of the existing stock. The city has also contin-

Indicator

Investment in solar energy The investment in solar energy continues and more photovoltaic systems have been

““

In the procurement process, the city has required that all electricity purchased to 100 percent is produced from renewable electricity production, which is also verified through environmental certification.

installed during the year. All the energy produced by solar installations in swimming pools and gymnasiums have been used to drive ventilation and water purification process and for heating the pool water at outdoor pools. In addition, the city has worked with planning for further installations of photovoltaic systems in several sports facilities such as Mälarhöjdens gymnasium, Västbergas new sports hall and Högdalen swimming and sports hall. The efforts of recent years have meant that the solar energy’s share of production has increased considerably. Demands on renewable energy In the procurement process, the city has required that all electricity purchased to100 percent is produced from renewable electricity

Annual targets

Outcome Total

Goal completion

Aims of the activity The Energy consumption is sustainable. Fulfilment of objectives for the year The annual objectives three out of five of the City Council’s indicators were achieved fully and two were achieved partially. Boards and company boards have completed the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met partly in 2018.

production, which is also verified through environmental certification. The city’s contracted provider has a license from the Swedish Society for Nature Conservation regarding the right to sell Good Environmental Choice. Climate Investment in City operations The City Council has allocated funds for the period 2015–2019 for climate-enhancing measures. These measures have contributed to achieving the city’s long-term climate change and reduce greenhouse CO2-emissions or contributed to a high alert for upcoming climate change. Implemented measures have had a clear relationship with the city’s governing documents in the climate and the environment area. A large part of the climate investment funds allocated in 2018 have been used for energy efficiency in the city’s operational areas, as changing to new appliances, LED lighting, electric bicycles within the home service and solar compacting trash baskets. Greater energy saving measures that have been carried out include the traffic service committee’s focus on energy effective lighting replacement. The focus has been on measures that provide effective climate benefits quickly.

Comments

Energy consumption in newly constructed buildings

55 kWh/m2

Completely

Purchased Energy

1785 GWh

1,829 GWh

Partly

Downward trend, however, not at the pace needed to reach the goal.

Purchased energy for heating, comfort cooling and hot water in the city’s public housing companies

148 kWh/m2

152 kWh/m2

Partly

A hot summer in great need of refrigeration and a cold winter is one of the reasons that the target is not reached.

Greenhouse gas emissions per capita

2.3 ton CO²e/capita

2,3 ton CO²e/capita

Completely

Annual energy production from solar energy

2,750 MWh

2,892 MWh

Completely

The City of Stockholm’s Annual Report 2018

An eco-smart Stockholm

In the existing building stock, the city has partly achieved the goal of purchased energy, and the goal of purchased energy per square meter in public housing. The hot summer has had a positive impact on energy consumption as heating needs of the city’s outdoor pools decreased and electricity production from the solar installations increased. The record heat has, however, also led to a greater need for cooling, resulting in increased power consumption and remote cooling.

ued to work on the energy efficiency of the city’s street lights which moreover reduces energy-costs contributed to positive effects for the environment and urban landscape through reduced emissions and more functional lighting. The City has also worked for the dissemination of knowledge, including of the research and innovation activities carried out Norra Djurgårdsstaden, to all of the city’s activities to take part and benefit from.

PHOTO: PÄR OLSSON

An eco-smart Stockholm

Transports in Stockholm are environmentally adapted The city’s transport will have less impact on the environment at the same time as the city grows. Stockholm will become a leading cycling city. Air quality will be improved by reducing car traffic, reduced use of studded tires, the review of the velocity rates and a focus on more green spaces in the urban environment. Accessibility to increase the so buses and other priority traffic. Traffic safety should be raised. Accessibility in a growing city The accessibility strategy is a guidance in the city’s efforts to develop sustainable transport solutions and achieve greater accessibility. The strategy’s role has been strengthened through decisions on other policy documents that have been made during the year. The new master plan is characterized by a transport-efficient urban development where walking, cycling and public transport should be given priority. The strategy for public space includes planning principles for how sustainable transport solutions can be combined with attractive public spaces. With the freight traffic plan, the city has taken a comprehensive approach to the challenges of the growing demand for freight transport. 60

The City of Stockholm’s Annual Report 2018

In order to promote the development of a sustainable transport system the city participates in regional and national negotiations and cooperation forum to capitalize the city’s interests in connection with the planned expansion of housing and transport infrastructure. The process of urban planning takes into account the proximity to public transport and the conditions for this to work satisfactorily. All detail planning that concerns streets strives to make these attractive walking and living environments. Car traffic per person in Stockholm is the lowest in the country, but in order to maintain good accessibility in the growing city it is necessary to reduce car traffic. The city

Aims of the activity Transports in Stockholm are environ mentally adapted. Fulfilment of objectives for the year The annual objectives for three out of eleven of the City Council’s indicators were achieved fully, six were achieved partially and one not at all. For one indicator the outcome is missing. The boards and the company boards have completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met partly in 2018.

SEK

has implemented a variety of measures to increase accessibility and achieving climate goals, such as designing the street space to improve for pedestrians and cyclists, contribute to expansion of the public transport and make it more attractive, optimizing traffic signals and signalling to reduce waiting times for priority traffic, improve the control of compliance with traffic device locations so that traffic disruptions are minimized and carry out a review of the speed limits on the city streets. Preliminary data show that car traffic was reduced in Stockholm in 2018, but the achievement of objectives as a whole is dependent on efforts and measures taken by others than the city.

Efforts to adapt speeds to local conditions and to have better speed compliance has continued, including an implementation decision for the physical measures related to part two of the velocity plan. Fossil fuel free city in 2040 Stockholm will be a fossil fuel free city by 2040 and the city of Stockholm as organization, which is expected to account for about ten percent of the total emissions in Stock-

To reach the climate targets a continuous work for change goes on in the municipal service committees and companies. Automotive Holdings are reviewed, both in terms of the need as such and the type of vehicles. This often leads to the number of vehicles being lowered or petrol vehicles to be replaced with biogas-powered or electric vehicles. At construction procurement, environmental demands are set on the contractors’ machinery. Work on public charging infrastructure for electric vehicles has continued with the fact that user rights agreements have been signed for a dozen new charging streets that can be operational in 2019 Sweden’s Best Environmental Car Municipality. During the year, the effect of different configurations of the introduction of environmental zone class 2, which set requirements on passenger cars, has been investigated.

1,3

billion

were invested in the development and improvement of cycle infrastructure during the period 2012–2018.

3,000

new bicycle parking spaces were constructed and a higher standard of maintenance of the streets in winter time has been maintained on the cycle tracks.

An eco-smart Stockholm

During the period 2012–2018, the city has invested about SEK 1.3 billion in the expansion and improvement of cycling infrastructure. Among the projects that have been completed during 2018 are Gamla Huddingevägen, Arenavägen, Valhallavägen, Värtavägen, Strömbron and Stallgatan. Also other cycle-promoting measures have been implemented, for example, 3,000 new bicycle parking spaces were constructed and a higher standard of maintenance of the streets in winter time has been maintained on the cycle tracks.

holm, will be the leader of the changeover and get rid of fossil fuels at the latest by 2030. To reach these goals, guidelines have been developed during the year, which specify the measures that the city’s different activities should consider.

Approximately 40 of about 200 investment projects decided on, within the funds allocated for climate investments relate to those aimed at achieving the goal of sustainable transport. Among these there are projects for about SEK 55 million, relating to improved mobility for so buses, the development of maritime transport as a replacement for truck testing of eco-asphalt, and the acquisition of electric bicycles and trash bins with solar compression. In addition, all of the city’s parking meters have been replaced with solar powered, ticketless machines. Annual targets

Outcome Total

Percentage of vacant paid parking in the inner city, daytime

13 %

12 %

Partly

Compared to 2017: Marginal increase from 11.9 percent to 12.0 percent.

Share of biofuel in the city’s ethanol and biogas vehicles

85 %

82 %

Partly

The annual target is achieved by 15 of 33 service committees/companies.

Number of days above the standard value for nitrogen dioxide in the air

7 dygn

25 days

Not

At these measure stations the standard value was exceeded: Essingeleden 25 days, Hornsgatan 23 days and Sveavägen 8 days.

Number of days above the standard value for PM10 in the air

35 dygn

34 days

Completely

Indicator

Number of cycles

Goal completion

Comments

84,150

82,440

Partly

Large increase compared to 2017.

Average speed for the Sto bus traffic in the inner city

18 km/h

17 km/h

Partly

Compared to 2017: Increase from 16.4 km/h to 17.2 km/h.

Average speed for the Sto bus traffic in the outskirts of the city

30 km/h

27 km/h

Partly

A decision has been taken for new measures to improve the goal achievement.

Increase 1 %

No outcome

No measurement

No outcome t compare with 2017.

Walking flow on a selection of streets. Passages of inner-city average, trucks Sold fossil fuels

Perceived safety for pedestrians and cyclists

18,100

9,630

8.4 TWh

8.5 TWh

60 %

65 %

Completely Partly

The increase of 0.1 TWh is due to an increase of the total volume of sold fuel. The percentage of renewable fuels rose from 23 percent to 27 percent.

Completely

The City of Stockholm’s Annual Report 2018

Stockholm has sustainable land and water use As the city grows consideration should be given to Stockholm’s blue and green values. The demand for land use in combination with ongoing climate change places demands on how the city is planned and strategically works with green areas, water bodies and urban environments for recreation and biodiversity.

An eco-smart Stockholm

The indicator Percentage of water bodies follows the environmental quality standards for ecological status is based on information from the County Administrative Board’s classifications of the city’s lakes, watercourses and the coastal water’s ecological status. The objective of achieving good water status in all of the city’s water bodies are yet to be fulfilled, but in a good way. The city is actively pursuing the development of local action programs to achieve good water status according to the EU Water Directive. The indicator Number of land allocated housings in wooden houses has not been met. The number of constructors that produce housings in timber is limited, which has contributed to the limited number of land allocation. Adaptation to global warming A changed climate with rising average temperatures, an increased and more intense rainfall, elevated water levels in lakes and oceans, and changing flows in rivers can cause negative effects on society functions. The city is therefore working to adapt the

physical environment to reduce the risk for harmful flooding. An important element in the efforts to make the city better prepared for cloudburst, is that the city develops the possibilities for multifunction solutions that meet the needs of a good local environment, while they at the same time work to take care of the increased rainfall. The city’s cloudburst model has been used as the basis for this work, both in existing buildings and in planning. During the year, the city has worked to analyze the principles for the city’s downpour management to determine acceptable levels of risk, internal division of responsibility and demarcation of ordinary stormwater management. In the exceptionally hot summer months, operations were carried out in the city’s activities, in particular for those groups that are particularly vulnerable during heat waves. The city also participated in the work of informing about the fire ban in the county and with investing resources that could assist the rescue service in the event of fire.

Goals for the activity Stockholm has sustainable land and water use. Fulfilment of objectives for the year The annual objectives for four out of eight of the City Council’s indicators were achieved fully, two were achieved partially and two not at all. The boards have essentially completed the activities they set out in their business plans. In view of the above, the goal of the activity area is considered to be met Completely in 2018.

Stormwater management The city has continued its work pilot project for superficial stormwater management and more extreme rainfall areas around the area at Rådmansgatan subway station and at Sätra sports ground in Skärholmen. The project at Rådmansgatan has, with granted funds from the special initiative on climate investments for 2018, made a thorough vulnerability assessment on the field and come

PHOTO: JOHAN PONTÉN

The City of Stockholm’s Annual Report 2018

up with proposals for measures to seize and delay stormwater. At Sätra sports ground at Skärholmen, new trees have been planted in Skärholmen, plant beds have been renovated and delay reservoirs for infiltration of stormwater have been put out. Climate investment funds have also been used to develop a design program for stormwater management and torrential rain in Rålambshovsparken. The aim is to make the park better prepared for heavy rain and flooding.

A Greener Stockholm To meet the increased use of city’s parks and green areas, the city is working to develop

In connection with development projects, the city develops, if necessary, the qualities of nearby parks and green areas through green compensation. The requirement for green area factor (GYF) for the district land is one of several environmental requirements that the city poses in connection with market surveys on the city’s land. During the year, decisions on green compensation were made in 17 development projects and 15 green compensations were implemented. By using the green area factor, the city’s green structure and biodiversity are strengthened, in order to create positive ecosystem services and climate change adaptation projects. During the year the city has also investigated the conditions for the construction of so-called bio-outer roof, a kind of green roofs that

During the year, the City continued its efforts to preserve and develop nature reserves and natural land to increase their natural values and ecological functions.

mimic natural habitats with a greater variety of species. By adopting this type of roof, the organic values increase by, among other things, promoting insects and pollination. Nature reserves produce ecosystem services The city has continued efforts to preserve and develop nature reserves and natural lands to increase their natural values and ecological functions. The city’s nature reserves produce ecosystem services which support features in nature and provides services directly or indirectly important for the people and the city. New reserves in Årsta forest and Årsta islands have been set up during the year. Further, a decision was taken about the establishment of nature reserves in Rågsveds recreation area, which also opened in May 2018 The work during 2018 continued to be able to decide on the establishment of nature reserves in Kyrkhamn and the Hagsätra Forest. The city has also in 2018 been working to improve the accessibility of the Nacka nature reserve through the purchase of accessibility benches, grills and garbage cans and accessibility of signs.

Annual targets

Outcome Total

Goal completion

Percentage of new buildings installed within 500 meters of rail or sto net traffic

66 %

99 %

Completely

Percentage of beaches with good bathing water quality

89 %

78 %

Partly

Proportion of development projects that make green area compensation relevant for land use in areas with ecological and recreational values

80 %

88 %

Completely

Percentage of land-allocated property with requirements according to the storm water strategy

100 %

Completely

Proportion of Stockholm residents who have access to parks and natural areas within 200 meters

85 %

83 %

Partly

The value of the indicator is obtained from a socio-survey that is not done annually, the next measurement will be made in 2020.

Percentage of water bodies that follow the nvironmental quality standards for ecological e status

35 %

26 %

Not

The indicator is based on information provided by the county administrative board’s classifications of our lakes, rivers and coastal underwater ecological status. The proportion of water bodies to achieve good status are 6 of 23 (26 percent).

100 %

300

155

Indicator

Percentage of annual land allocation of city land where green space for blocks of land is required Number of land allocated housings

Comments

During the summer, the bathing water quality of the beach baths were slightly lower than normal, which is considered to be due mainly to the warm weather and the high load on the baths.

Completely Not

The number of constructors that produce housings in timber is limited, which has contributed to the limited number of land allocation.

The City of Stockholm’s Annual Report 2018

An eco-smart Stockholm

Water improvement measures Local action programs for Bällstaån, Råcksta träsk, Långsjön, Magelungen, Fårsån and Drevviken, with the aim of ensuring that the water bodies reach good water status, have been completed during the year. In addition, local action programs for another eight bodies of water were started. The monitoring of the chemical status and monitoring of ecological status have been carried out according to the city’s environmental monitoring plan and the results have been used in the work on local action programs and reported to the county administrative board prior to upcoming status classifications of the city watercourses. Within the framework of the work on local action programs for the city’s water bodies, proposals have been developed that also benefit biological diversity in the water areas, especially when it comes to the fish fauna. The city has among other facilities erected reproduction of amphibians and fish using discarded Christmas trees to the so-called risvasar.

and strengthen the recreational values of the public land. When the city is growing, small green structures will have an increasingly important role in linking the larger green areas and supporting ecosystem services. During the period 2017–2020, SEK 300 million is invested for a greener Stockholm and 25 different projects are underway in stage one and two, especially in the outer city. During the year, the third phase of the initiative was initiated, which involves initiatives in areas such as biodiversity, wetlands and frog tunnels. The single largest investment consists of a new larger park at Vårbergstoppen in Skärholmen. In addition, a number of other green projects were completed during the year, including the renovation of the Solursparken in Vällingby, Bodholmsgången in Skärholmen, Magelungens sea promenade in Farsta and Bandängens playground in Enskede.

PHOTO: ANNA ÅBERG

Ett Anklimatsmart eco-smart Stockholm Stockholm

Stockholm’s ecocycles are resource efficient The most environmentally friendly way to enhance the management of materials is to prevent the creation of waste. The waste that arises must be disposed of in a resource efficient manner. The recycling will become more accessible, the opportunities for recycling will be expanded and textile collection is to be facilitated. Food waste will be reduced in the City’s operations and the collection of food waste will increase. A number of measures have been implemented in the city to develop waste and climb up the “waste stairs”. The trend of recovery, recycling, collection of hazardous waste and food waste is steadily increasing. Food waste and collection of food waste Annual target for the indicator The amount of food waste destined to biological treatment of 40 percent have not been obtained in 2018, but there has been an increase with 25 percent from 19,676 tonnes to 23,680 The reasons why the target of collection of food waste is not reached, is the problem of getting enough large amounts of food waste. The goal of the food waste collection is a challenge but the city has high ambitions in this area and efforts were intensified during the year, which has led to an upward trend. To achieve the city’s long-term goals for increased food waste collection for biological 64

The City of Stockholm’s Annual Report 2018

treatment a sorting facility is established in Högdalen. The procurement of the sorting facility was completed in 2018 and the procurement of construction works will go on during 2019. The plant is expected to be operational with year effect in 2022. A number of pre-school units has worked during the year with the recovery and to reduce food waste including by participating in Keep Sweden Tidy where children can learn more about recycling and recovery and be involved in the work. This has created a huge commitment that children take with them home. Pre-school Chefs has under gone a fundamental food waste education, where all the participants developed an action plan. Furthermore, the units worked on planning purchasing, preparation and serving of food, the amount of food waste and has encouraged the children to take

Aims of the activity Stockholm’s ecocycles are resource efficient. Fulfilment of objectives for the year The annual objectives for two out of three of the City Council’s indicators were achieved fully and one not at all. The boards and company boards have essentially completed the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met partly in 2018.

23,600 ton of food waste was collected for biological treatment during 2018. This is an increase of 20% compared to 2017.

small portions at a time which has resulted in a decrease of food waste at these units.

Another project that contributes to the city’s circular economy is Popup Re-use which has had a large increase of events in 2018. In total, about 40 different activities were carried through in which local residents made over 44,000 switches which corresponds to approximately 13 tons reuse. The appreciated service of Christmas tree collection was strengthened during the year with new collection points from which the Christmas trees are sent to bio char production.

Waste management in the public space The city has for years developed and implemented a program for waste management in the public spaces with the aim to reduce litter and make it easier to recycle waste. For several years experiments with different types of waste sorting system have been implemented in city parks to see which system obtain best results, and also in 2018 some 30 recycling modules were placed on places near water, such as beaches and parks. In addition, some 20 modules and in particular for plastics have been placed next to ordinary litter baskets to increase opportunities for sorting of plastics in the public space. The work on recycling in public spaces is now included in the new street operation contracts.

Annual targets

Outcome Total

Goal completion

Percentage of hazardous waste in the household

0.15 %

0.10 %

Completely

Percentage of food waste for biological treatment of expected arising amount

40 %

25 %

470 kg/person

Indicator

The amount of household waste per person

Not

Comments

The amount of food waste that has been passed to the biological treatment has increased from 19,676 tonnes to 23,680 tonnes.

Completely

The City of Stockholm’s Annual Report 2018

An eco-smart Stockholm

PHOTO: STOCKHOLM VATTEN OCH AVFALL/LASSE BURELL

Sports facilities with waste management plans In 2018, the city has completed more waste management plans for sports facilities which describes the management of the waste when purchasing goods, sorting and storage of waste at the plants and the transportation for removal of the waste. The plans also contains information and data statistics that facilitate the monitoring of waste management at each facility. Now a total of 30 sports facilities have their own waste management plan, which means that 40 percent of the city’s facilities have a plan for waste management. In 2018, the city has also established food waste recycling at the city’s three main swimming pools, Eriksdalsbadet, Åkeshovsand Farsta swimming and sports hall. Food waste from the plants is collected and turned into biogas.

Reuse of circular economy The city has through the project Stocket recycling helped to increase the circular economy. A web solution has been developed where the city’s businesses can advertise, or search for furniture and equipment which has led to the internal supply of thousands of leftover furniture and equipment during the project period, in the city. Since the start of the project, over 2,600 ads were published and at least 65 percent of the ads has resulted in furniture and equipment no longer used in an activity to be re-used as far as possible, in another of the city’s activities.

PHOTO: TOVE FREIJ

An eco-smart Stockholm

Stockholm’s environment is toxin free Stockholm residents should as far as possible be protected from harmful substances and a there is a special focus on child protection. The “City of Stockholm’s chemical plan 2014–2019” describes the vision of a “Non-toxic Stockholm 2030” and the measures to be implemented to achieve this vision. Brush wash is investigated as a way to prevent pollutants from pleasure boats in Lake Mälaren The Sports Service committee during the year, together with the Environment and Health Service committee investigated brush wash as an option to access pollutants from leisure boats and prevent its spread in the Lake Mälaren. The study aimed to evaluate the economic and environmental perspectives related to the establishment of a brush wash in Mälaren. In connection with this, the Sport Service committee and the Environment and health service committee started to work on the establishment of a brush wash station. 66

The City of Stockholm’s Annual Report 2018

Stockholm’s City creates conditions to reduce the food impact on environment and climate During the year, a proposal for a city-wide food strategy, Strategy for good, healthy and climate-smart food, was developed together with the relevant service committees. The proposal, which aims to promote a better public health and reduce the environmental and climate impact, has been out for discussion during the autumn and a decision can be made in 2019. The Education service committee conducts a review of the current guidelines for school meals in primary and secondary schools aimed

Aims of the activity Stockholm’s environment is toxin free. Fulfilment of objectives for the year The annual objectives for three out of six of the City Council’s indicators were achieved fully, two were achieved partially and one not at all. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met completely in 2018.

PHOTO: FREDRIK SANDIN CARLSON

at increasing the percentage of organic food in school and reduce its climate impact, where a decision can be made during the 2019. Enskede-Årsta-Vantör’s district council has during the year started to work on using additional modules in cost data systems that enable measurements of food waste and carbon dioxide equivalents in the pre-school. Based on initial measurements, work on developing a new food note has begun to reduce the climate impact of the food served. During the autumn, an information initiative was carried out where all staff in the pre-school received information about how the food waste is measured and that all units should start using the module. Communication activities for a non-toxic Stockholm During the year, the City’s Chemicals Center has carried out targeted communication efforts towards business and consumers, with the aim of encouraging them to contribute to the work of a Non-toxic Stockholm. The efforts conducted were directed towards construction and real estate, trade and hairdressing.

An eco-smart Stockholm

The city sets clear environmental standards and develops monitoring standards The Traffic service committee has in connection with infrastructure projects and other contractors worked for toxins and chemicals not to be used. This is done through clear environmental requirements being set and that the controls of these have been developed and implemented regularly. Companies for graffiti cleaning were continuously checked during the year for the use of chemicals in cleaning and the use of protective equipment that prevents cleaning agents and residues of spray paint from ending up in storm water systems. Annual targets

Outcome of the previous year

Outcome Total

Goal completion

Proportion of the city’s pre-schools that have carried out all measures at level 2 according to the Chemicals Center’s guidance for a chemical smart pre-school

70 %

76 %

91.3 %

Completely

Proportion of construction and civil engineering works under the City that meet the city’s requirements regarding use of the Building Materials Assessment (BVB) or comparable systems

80 %

59 %

71.2 %

Not

The low outcome is primarily due to a number of boards having introduced the system of BVB in the year. The system was due to this not included in the contracts signed for 2018. It will from 2019 be one of the requirements for the award of contracts.

Proportion of purchased organic meals and food in the city in SEK of the total value of purchased meals and food

45 %

40 %

43.5 %

Partly

The annual target has not been achieved mainly due to a number of boards having multi- year agreements with the requirement of 40 percent organic food.

100 %

Completely

14 st

Completely

124

128

Indicator

Percentage of prioritized and relevant agreements according to the chemical plan without deviation from the chemical requirements Number of 15 selected substances showing decreasing or unchanged levels in sludge The number of chemical products that contain phase-out substances and which are used in the city’s operations

Partly

Comments

During 2018, 2,641 unique products were in use, which is an increase of 10 percent compared to 2017 (2,393). The fact that certain products have changed their classification, together with the fact that products have been changed, has affected the indicator’s outcome.

The City of Stockholm’s Annual Report 2018

PHOTO: ANNA ÅBERG

An eco-smart Stockholm

The indoor environment in Stockholm is healthy The City of Stockholm will offer healthy premises and residential areas for Stockholm’s inhabitants. People spend much of their lives indoors and therefore the impact on health and comfort is significant. New challenges follows the construction of new housing and the densification of the city. It is important that, already in planning for buildings, to carry through prevention work against risks of interference in the indoor environment. A particular focus should be put on measures to create a good sound environment in pre-schools and schools. Measures are implemented to reduce noise pollution indoors In the growing Stockholm, where several parallel construction and infrastructure projects are going on, noise and vibration disturbances are inevitable. The work to minimize these disturbances has therefore become even more important.

The City of Stockholm’s Annual Report 2018

The Environmental Health Service committee has, together with the City Planning Service committee developed a guide for environmental noise in residential construction, where the city’s interpretations and approach for the management of ambient noise in residential construction is described. During the autumn, the City Planning informed the concerned service committees about the guide.

Goals for the are of activity The indoor environment in Stockholm is healthy. Fulfilment of objectives for the year The annual objectives for one out of three of the City Council’s indicators was achieved fully, one was achieved partially and one not at all. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met completely in 2018.

Supervision creates the conditions for the indoor environment not to cause inconvenience to human health The Environmental and Health Service committee promotes a healthy indoor ambiance, among other measures through the service committee’s supervisory work in the areas of noise, ventilation, moisture and radon. The supervision aims both to be preventive as well as corrective. Here, the Service committee’s directed supervision of schools and pre-schools is aimed at ensuring that the indoor environment does not cause inconvenience to human health. This is done among other measures, by checking the noise levels, ventilation and hygiene routines. During the year “Project noise” was continued. The project means that noise from fixed installations at schools and pre-schools has been checked so that these do not exceed the Public Health Authority’s guideline values for indoor noise.

100%

The Environmental and Health Board promotes a healthy indoor ambiance, among other measures through the board’s supervisory work in the areas of noise, ventilation, humidity and radon.

of the city’s own newly constructed buildings are designed according to the requirements for moisture-proof construction.

Material selection in the context of new and reconstruction contributes to minimize health-related risks In connection with the new construction and renovation of the district service committee’s premises it is taken into consideration to

use materials that helps health-related risks to be minimized. This is done among other measures by sound-absorbing materials used in flooring and roofing, as well as use of acoustic dampening furniture.

Outcome of the previous year

Total Outcome

Goal completion

Proportion of municipal buildings that are environmentally certified

3.2 %

1.49 %

1.73 %

Not

Percentage of the city’s own newly constructed buildings are moisture safety projected according to ByggaF or equivalent

95 %

70 %

100 %

Completely

Percentage of the city’s own newly constructed buildings used for any of the purposes housing, work or teaching space which should below a radon concentration of 200 bq/m3 air

95 %

87 %

89.7 %

Partly

Comments

The goal concerns the entire existing building stock and the measures are implemented in line with the plans for renovation and reconstruction.

Radon measurements shall be carried out every 10 years. Several old buildings were in 2018 be remeasured, which has not been implemented. These will be measured in the spring 2019.

The City of Stockholm’s Annual Report 2018

An eco-smart Stockholm

PHOTO: LENNART JOHANSSON

Annual targets

Indicator

PHOTO: ISTOCKPHOTO

An economically sustainable Stockholm

An economically sustainable Stockholm Stockholm will be the centre of new thinking. The favourable climate for innovation makes companies and people flourish. The business sector’s diversity and lifelong learning provides all inhabitants the freedom to pursue and realize their dreams. Stockholm is a city that attracts international entrepreneurs, students and visitors. The city’s economy is sustainable, and the budget is in good financial balance. The overall assessment is that the orientation goal has been met completely during the year. The assessment is based on the fact that out of five of the underlying goals, four have been fully met and one partially.

The City of Stockholm’s Annual Report 2018

Stockholm is a world-leading knowledge region Strengthening cooperation between academia and society, is one of the key strategic issues for the future. Cooperation shall, among other things include, joint research projects, efforts to get more student housing and development of cooperation forum. Stockholm will be a center of international research and development, which requires large investments in education and infrastructure. The City’s boards and companies interact with other cities, universities, research institutes, business and the rest of the civil society in order to develop the business and strengthen the link between business, practice, education and research.

During the year, the city’s service committees provided just over 5,100 internships for high school students and business placement. Increased knowledge by cooperation The Labour Market service committee participates in the Nordic Council within

Indicator

Percentage of population, 20 years, completed high school

Aims of the area of activity Stockholm is a world-leading knowledge region. Fulfilment of objectives for the year The annual target for the City Council’s indicator was partially achieved. Boards and corporate boards have carried out the activities they set out in their business plans. The City Executive Office’s assessment of goal achievement is based mainly on the boards’ assessment of goal achievement. The corresponding indicator is followed only by the City Executive Board who has limited control over the outcome. The indicator is therefore not essential for the assessment of the target fulfilment. In view of the above, the goal of the activity area is considered to be met Completely in 2018.

““

The Environmental and Health Protection Service committee cooperates with other cities in several EU projects to reduce the climate impact and achieve higher energy efficiency.

The Environmental and Health Protection Service committee cooperates with other cities in several EU projects to reduce the climate impact and reach a higher level of energy efficiency. Among other things, they lead the project GrowSmarter, where other European cities and companies participate. Also the Stockholmshem AB participates in the project. The project tests and develops smart solutions for energy, infrastructure and transport. The goal is a sustainable urban growth with increased energy efficiency, reduced environmental impact and more jobs. Valla Torg in Årsta and The Slakthusarea in the Globe are two districts involved in the project. Stockholm Business Region AB has focused on talent recruitment and existing bureaucratic obstacles for those moving to Stockholm from other parts of the world. Work is under way, among other things, within the framework of the cooperation Move to Stockholm with the overall purpose for Stockholm to be Europe’s leading sustainable growth region.

Annual targets

86 %

Total

74 %

Outcome Women

78 %

Men

Goal completion

71 % Partly

Comments

Results have deteriorated since, 2016. The indicator had no outcome 2017.

The City of Stockholm’s Annual Report 2018

An economically sustainable Stockholm

Operational training is being developed The city’s cooperation with Stockholm University and Södertörn University regarding the operational training for students in the pre-school and teacher programs has evolved during the year. The Education service committee has, in cooperation with Stockholm University developed guidelines to promote a uniform shape for the operational training solution. The collaboration with Södertörn University has been expanded within the framework of the Center for Professional Development (CPU) and now encompasses both the compulsory school teacher programs and the upper secondary school teacher education. Additionally, the four district service committees Farsta, Skarpnäck, Skärholmen and Östermalm started two common CPU in cooperation with Södertörn University for students in the pre-school teacher program. Cooperation within the CPU is designed to create closer cooperation between teachers from high schools and tutors from the city’s pre-schools and schools and to give students in pre-school teacher and teacher programs a high quality in the operational education. The cooperation will also increase the ability of the city to recruit preschool teachers and teachers.

the framework of the Nordic welfare center, which works to strengthen the Nordic countries’ cooperation in the welfare area. The purpose of the participation is to change experiences and increase knowledge about the reception of new arrivals and integration.

Stockholm is a business-friendly city Stockholm is an attractive city for small business owners. The local business will be strengthened by developing entrepreneurial service and advice. Entrepreneurship and self-employment among women and foreign-born are particularly supported. The start-up businesses are expanded and more companies are started. The city cooperates with public and private actors to increase entrepreneurship in Stockholm. The companies satisfaction with the public authority’s work (CSI) is on the same level as 2017. The partial result for the treatment has increased but not enough to fully reach the city’s goals. The City Planning service committee and the Traffic Service committee still need to improve their goal fulfilment and work on developing the authorities’ exercise. The City Planning Committee has carried out internal drawbacks and has appointed a manager who has an extended responsibility to dialogue with external stakeholders and has in 2018 achieved some improvement of the NKI from 57 to NKI 60. Several efforts are undertaken to bring more new companies. This year’s results show that fewer companies are started and fewer companies obtained help from the city compared to the previous year. The decline is believed to be due, among other things, to the fact that the opportunities for employment are good

Goals for the are of activity Stockholm is a business-friendly city. Fulfilment of objectives for the year The annual objectives for two out of six of the City Council’s indicators were achieved fully, three were achieved partially and one not at all. The boards and company boards have essentially carried out the activities they set out in their business plans and have developed their own indicators that demonstrated how the boards and company boards contributed to the target fulfillment. In view of the above, the goal of the area of activity is considered to be met completely in 2018.

and a growing trend of self-employment. The reduction in the establishment of new businesses eeds to be analyzed and measures taken to make more companies start. The Service Committee carries out the city’s com-

PHOTO: ISTOCKPHOTO

An economically sustainable Stockholm

Good service and good business environment for new and existing companies During the year, the city has carried out a study which, through external monitoring and mapping of challenges and how the city’s business work appeared both historically and today, investigates how the city can strengthen the business perspective and create a clearer organization of the city’s business work. The city, both technical boards and urban district service committees, keep a regular dialogue with industry and business associations. To improve the conditions the city is working to be aware of emerging industries. The city also conducts security-building measures. Skarpnäck and Södermalm district service committees interact with companies and police regarding crime prevention. The city authority is a central part of the work for a better business.

The City of Stockholm’s Annual Report 2018

PHOTO: HERMAN CAROAN

pany guidance to simplify life for companies and Inhabitants of Stockholm who want to start a business. The number of guided cases has decreased during the year. The company guidance will be revised in 2019 with the aim of making it even easier and clearer for businesses. Efforts to strengthen Stockholm as a startnode continued. Efforts have been carried out on social media, digital networks and through partnerships with various start-up hubs. A coherent event week, Stockholm Tech Week, was held in September.

Strengthened business perspective in urban development Good conditions for new, emerging and existing businesses is crucial for job creation. During the year, the city has worked on analysing the job opportunities in urban development projects. A pilot project in Årsta warehouses has started to develop the work of the city’s coordination activity.

Indicator

Number of companies that the city has guided

Number of start-ups

The companies’ satisfaction with the service

To strengthen the local business community, Stockholm Business Region AB has developed local growth analyzes and supported the district’s service committees in the work. Farsta district service committee, together with Stockholm Business Region AB has developed a local action plan for the company- and workplace development. Stockholm will become a leading city of events The city promotes events for Stockholm to be an attractive and vibrant city. Until December 2018, 797 events were carried out with 105 permitted movie sets. The city has provided support to several major events. World Cup parallel slalom, Stockholm

Annual targets

Destination Stockholm has continued to develop. Along with the tourism industry, work is underway for increased collaboration within the destination, global marketing and development of tourism services.

Outcome Total Goal completion

Comments

1,800

1,526 Partly

The number of companies that have been guided has decreased since serving licenses and food control got their own routes into the contact center. The number of cases as a whole is not deemed to be reduced.

23,750

23,361 Partly

The economy in Stockholm during the period was strong. Despite this, the number of start-ups in the county has decreased compared to the previous year. The number of start-up companies in the City also decreased with nearly 2, 000 companies to 12,809.

76 Partly

Salary (daytime population) in the private sector, The City of Stockholm

4.0 %

5.9 % Completely

Start-up firms that are supported by the city

2,000

1,340 Not

Business satisfaction at contacts with the city as authority

Design Week, the World Championships in synchronized skating, the music week with Symposium, Summerburst, the Polar Music Prize, Denniz Pop Awards, Taste Stockholm and Europride are examples of major events that have been arranged during the year. The city organized itself among other, the National Day celebrations in Rålambs hovsparkens, the Park day, the cultural festival and New Year’s celebrations.

71 Completely

Satisfaction with the service has, since 2017 increased from 74 to 76. The outcome of 76 is seen as a high result.

The general pace of existing registered companies are reduced and the potential for employment are good. The growing trend of self-employment can be a contributing factor. NKI has increased for four jurisdictions and ecreased for two. d

The City of Stockholm’s Annual Report 2018

An economically sustainable Stockholm

Collaboration for better matching and competence supply The city has signed several new partnerships with companies in the field of non-profit industries and contributed to the business sector’s and the city’s own competence supply through the central employer interaction. Within Jobbspår Stockholm Company, a collaboration with the Swedish Employment Service and local companies, eight job tracks have started where job seekers are equipped to match the companies’ need for competence. The State has also participated in the ESF-funded project Kompetensarena Stockholm, which aims to develop adult education in the Stockholm region to better match the needs and demand in the labour market.

PHOTO: MATTIAS PROMODOU DAHLQVIST

An economically sustainable Stockholm

More people work, have secure employment and support themselves Work is the basis for human development, participation and self-sufficiency. Many jobs are created on Stockholm’s growing labour market and unemployment falls significantly. However, there are still challenges in the form of high unemployment in some groups and labour shortages in many professions. Specific efforts will be taken for newly arrived to get work quickly. Continued decline in financial assistance The trend of positive development in economic assistance continues. The labour market in the region is positive, which along with the city’s work with labour market initiatives contributes to the reduced need for financial assistance. The proportion of aid takers in relation to the city’s population has decreased slightly in comparison with 2017, and amounted in December 2018 to 1.5 percent (monthly average). Also the proportion of adults who have a long-term dependence of financial assistance has decreased slightly since last year, and is now 1.0 percent. The decrease is evident for both women and men. 74

The City of Stockholm’s Annual Report 2018

The number of households receiving social assistance in the city has decreased by 4.2 percent compared to 2017 and amounted to 13,966 during the 2018. The average period of assistance for households was 7.1 months during the year, which is a small average increase compared to 2017. The need for financial assistance is generally the same for women as for men. In the District service committee areas of Rinkeby-Kista, Spånga-Tensta and Skär holmen the need for aid, however, is higher for women. During the year, special labour market initiatives have been developed

Goals for the area of activity More people work, have secure employment and support themselves. Fulfilment of objectives for the year The annual objectives for seven out of nine of the City Council’s indicators were achieved completely and two were achieved partially. Boards and company boards have completed the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met completely in 2018.

that specifically target women, in order to increase the opportunities for their own livelihood. People who are far from the labour market have, among other things, been offered internships in collaboration with the Employment Service, employment through Stockholm jobs or extra services. The city has also worked with outreach to inform and motivate women outside the labour market to participate in initiatives via the city’s job market.

More summer jobs for young people Stockholm city offers holiday jobs for young people aged 16–19. The purpose of the initiative is to offer young people a meaningful employment and arouse their interest in eventual work in the municipal activities. In 2018, just over 10,000 young people got holiday jobs in the city during summer, autumn and Christmas holidays. The young people have worked in different

Indicator

of Jobbtorg Stockholm’s candidates were selfsufficient six months after completion of the operation.

1,138

people have had a Stockholm Jobs Employment.

young people aged 16–19 years, have had holiday jobs.

activities, including elderly care, pre-school, summer camps or with the maintenance and cleaning of the outdoor environment.

city’s outreach work, where more and more young people and more women far from the labour market have been able to reach and register on the job market.

During the summer, the focus on holiday jobs with language support for unaccompanied refugee youth continued. Altogether, some 50 newly arrived young people were given the opportunity to summer jobs with extra language support on Tigrinya, Somali, Arabic or Dari.

More Stockholm jobs For people who are far from the labour market, an employment can provide important experience, qualifications and motivations that facilitate long-term establishment on the labour market. In 2018, just over 1,000 people were offered temporary employment in municipal activities through investments in Stockholm jobs. This represents an increase of 20 percent compared with 2017. Within the framework of the Stockholm job, the city offers support both before, during and after the employment period, and the positions are possible to combine with education according to the individual’s needs.

Effective labour market initiatives The city’s operations Jobbtorg Stockholm offers support and coaching to the unemployed with financial assistance or to whom has social problems. The goal is for the aspirants to get the support they need to get a job, such as counseling, work training, internships, shorter professional courses or matching jobs. In 2018 6,700 aspirants were enrolled at Jobbtorg, which is slightly more than 2017. The increase is largely due to the

Annual targets

Total

Outcome Women

Men

Goal completion

Percentage of aspirants who are self-sufficient six months after end on Jobbtorg Stockholm

80 %

72 %

73 % Partly

Number of internships that are carried out within the city’s operations by the ambitions that Jobbtorg Stockholm matches

500

768

- Totally

Number of young people with holiday jobs organized by the city

9,000

10,039

4,973

5,066 Totally

Number provided holiday jobs

9,000

10,238

- Totally

Number of aspirants obtaining Stockholm Jobs

1,000

1,039

566

473 Totally

Number of provided placings for Stockholm Jobs

1,000

1,138

- Totally

Percentage of people who have financial assistance in relation to the population

1.6 %

1.5 %

1.5 % Totally

Percentage of adults with long-term social support compared to all adult residents

1.1 %

1.0 %

0.9 % Totally

100 %

98 %

98 % Partly

Andelen ungdomar som erbjuds jobb, utbildning, praktik eller förberedande insatser inom 90 dagar

10,039

Comments

The outcome affected by the fact that aspirants may be terminated to others.

The preparation time for sustained efforts are often longer than 90 days, especially in outreach efforts which might require more time to motivate.

The City of Stockholm’s Annual Report 2018

An economically sustainable Stockholm

Early intervention for young people Youth unemployment is generally low, but is highest among young women and men who do not have completed upper secondary education. To help reduce youth unemployment the city cooperates with the Employment Service to quickly offer work, education, training or individual interventions for unemployed young people. The city has for years been actively involved in outreach activities to reach young people who neither work nor study. The working methods and communication have been developed during the year, and coaches and supervisors from the job care center have visited places such as libraries, open pre-schools, citizen offices and the Youth House. The young people have been offered activities such as training contracts and youth employment.

80 %

PHOTO: FREDRIK SANDIN CARLSON

An economically sustainable Stockholm

In Stockholm, it is easy to acquire education throughout life Education is the single most important factor to be able to enter and remain on the labour market. Investment in adult education is crucial for reducing unemployment and improved matching, and the offer of adult education will be increased. The quality of Swedish for Immigrants (SFI) should be increased and the teaching increasingly individualized. Easy to choose studies The education is a key to being able to enter and stay on the labour market, and the city has worked actively to encourage studies, especially for people with a short educational background, people with a weak position on the labour market and people who want admission to the university. At jobbtorg, the aspirants are offered guidance, coaching and other support in order to be encouraged to choose studies to strengthen their position on the labour market. To facilitate the study of these groups the city continued the efforts to provide flexible learning pathways and support, for example by guidance and counseling, language support and cohesive groups. 76

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

More students within adult education The city offers a wide range of training programs and courses for adults, both in-house and through external education providers. Many courses can lead directly to work, and the students can choose between daytime, evening time or distance learning. During the year the number of students in adult education has increased, both at the basic and secondary level and in the polytechnic school. All applicants who have met the entry requirements have been offered places. In total more than 50,000 students studied in adult education during the 2018. Of these, 59 percent were women.

Goals for the area of activity In Stockholm, it is easy to acquire education throughout life. Fulfilment of objectives for the year The annual goals for one of four of the City Council indicators was achieved completely, and three achieved partially. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met partly in 2018.

The grades in the professional education of upper secondary adult education are high. In 2018, the proportion with a passing grade after completing the course were 89 percent. Within the higher education preparatory courses, 71 percent achieved passing grade, and within the basic adult education, the corresponding figure was 83 percent. In all forms of education, the grade result for women is generally slightly higher than for men. The user surveys show that the pupils in komvux and sfi are satisfied with both their education and schools.

county. In Stockholm, there is the opportunity to read professional Swedish for educators, economists, lawyers and other social scientists, as well as for engineers and architects. Pilot projects for better study environment SFI courses usually have continuous admission. During the year, the city launched a pilot project to provide cohesive study within SFI. In most cohesive groups, students study together in the same class without the influence of new students. It is hoped that the study process will provide better working environment and thus create conditions for better outcomes.

PHOTO: LIESELOTTE VAN DER MEIJS

An economically sustainable Stockholm

More students because of educational obligation In 2018, a new educational obligation was introduced for new arrivals who participate in the Swedish Public Employment Service’s establishment program. The educational obligation means that new arrivals with a short educational background who are deemed to be in need of studies to be able to establish themselves on the labour market can be assigned to studies in adult education. New arrivals who study within the framework of the educational obligation are often in extra needs of special support, and the city during the year specifically tailored courses and offered personalized forms of support.

Professional training in combination with SFI During the year the number of combined studies where SFI is combined with professional training increased, and the number of professional specializations has been extended. During the year, professional training facilities, in combination with SFI offered six different fields: health care, child and recreation, chef, construction, automotive and transport, as well as plumbing and real estate. To facilitate entry into the labour market foreign born who have a professional education from the home country can study Swedish for professionals (sfx). Teaching is conducted in collaboration with other municipalities in the

Fewer students in SFI The number of students enrolled in SFI has decreased slightly during the year. The decrease is partly due to a reduced number of new arrivals in the establishment. At the same time, the number of students studying Swedish as a second language (SVA) has increased, which is a consequence of the previous SFI students continuing to further studies. The results of the SFI is good and has improved compared to previous years. Of those who completed the national test in SFI 99 percent passed. For parental leave, the city offered SFI at the open pre-schools and introduction pre-schools. During the year, the number of SFI students on parental leave increased. The majority of students have continued to study regular SFI after the parental leave.

Indicator

Annual targets

Total

Outcome Women

Men

Goal completion

Comments

Percentage of students in SFI with a passing grade after completing the course

94 %

99 %

99 % Completely

Percentage of course participants within basic adult education with approved grades after completing the course

85 %

83 %

85 %

80 % Partly

The annual target is not reached, but the results have improved compared to previous years.

Percentage of course participants in upper s econdary adult education, higher education preparatory courses, with approved grades after completed course

73 %

71 %

73 %

70 % Partly

The annual target is not reached. The results are on the same level as 2017.

Percentage of participants in upper secondary adult education, professional training, with approved grades after completing the course

90 %

89 %

88 % Partly

The results have deteriorated slightly compared with 2017. Rating outcome varies between different courses and study options.

The City of Stockholm’s Annual Report 2018

PHOTO: EMILIA BERGMARK JIMÉNEZ

An economically sustainable Stockholm

The City of Stockholm’s finances are sustainable The City shall be equitable and sustainable and have a balanced economy. The activity should be cost-effective and administrative costs kept low. The city has a large and neglected need for investments in schools and sports facilities, infrastructure and housing. Investments will be conducted on the basis of long-term needs and with greater cost awareness to ensure good management of resources. Effective management with a focus on core tasks Thanks to the service committees’ systematic efforts to achieve a balanced budget in the year, favourable conditions are created for an economy in balance also in the long term. However, it is a prerequisite that, in order to meet the demands of tomorrow’s taxpayers, that the city’s activities are scarce with the taxpayers’ money. It should be obvious that given budget frames are respected. Budgeting is a prerequisite for the funds that the city council has allocated to actually be used for their intended purpose and not to cover the deficit in the operations. The city administra78

The City of Stockholm’s Annual Report 2018

tion must be efficient, with a focus on core tasks and to cost-effectively and with high quality deliver what the Stockholm inhabitants have the right to expect. Continued high budget compliance in the city All of the city councils report a surplus of SEK 375 million in total, of which SEK 53 million refers to the district. The highest deviation is reported by the traffic service committee where the surplus is mainly due to increased revenue for leases and parking operations. Also the development service committee and the welfare service commit-

Goals for the area of activity The City of Stockholm’s finances are sustainable in the long term. Fulfilment of objectives for the year The balance sheet for 2018 show a profit of SEK 3,176 million. The annual targets for all of the City Council’s ten indicators were achieved completely. The boards have essentially completed the activities they set out in their business plans. In view of the above, the goal of the activity area is considered to be met Completely in 2018.

Digitization is an important strategic issue for the future and Stockholm will be the world’s smartest city by 2040. During the year, a series of digital tools were launched and implemented.

““

The city’s investment will be guided by a focus on operating costs and investment spending to achieve a sustainable balance between profitable and non- profitable projects.

Developed control of the city investment The city’s investment will be guided by a focus on operating costs and investment spending to achieve a sustainable balance between profitable and non-profitable projects. During the year, the city’s investment strategy and model for the coordination and prioritization of investment projects have been developed. In addition, decisions were taken on a

revised real estate and local policy for the city that provides a framework for how the city possession of real estate and facilities should be developed so that the planned investments can be implemented while maintaining financial strength and low financial risk. Digitization contributes to more efficient processes Digitization is an important strategic issue for the future and Stockholm will be the world’s smartest city by 2040. During the year, the school platform’s educational tools and start page were launched. In order to automate repetitive processes and operations in finance system a service regarding Robotic Process Automation (RPA) was ordered, which in some contexts is described as digital employees. Efforts to establish an effective application system for adult education, as well as replacement of system support for the labour market, policies and government grants management are in progress. The Development service committee has worked closely with the City Planning service committee on the project Södertäljevägen/Norra Liljeholmen to develop a digital community building process, where it is possible to work with digital models of the built environment to perform simulations and analyze how access to parks and natural environment are met. Within the framework of the Civitas Eccentric project, the Traffic committee, together with KTH, has reviewed how a street needs to be designed to enable autonomous buses. Work with smart lighting and smart traffic control has also been conducted and will continue.

Indicator

The municipal Group’s solvency incl. short-term pension commitments The municipal Group’s solvency incl. long-term pension commitments

The interaction with the outside world strengthens the position of Stockholm The city will start from the international strategy in the choice and prioritization of international engagement and from the EU policy in all advocacy work towards the EU. Among other things, through political participation in the EU high-level panel on the future climate research to lift the city’s specific experience. In addition, the city participated in ECCAR’s (European Coalition of Cities against Racism) annual conference where the theme was culture, sport and diversity. The city also cooperate on social issues under the European Social Fund and the Eurocities Social Affairs Forum. Working together for a better use of spaces The city’s relevant committees and property companies cooperate in order to co-ordinate sports facilities to a greater extent and to meet both the school’s and the association’s activities. Other good examples of collaboration to optimize the utilization of premises is the new library in Östberga, which has collaborated with other units and the Stockholm City Library, which has intensified the cooperation regarding co-location with the Cultural School. Within the school it is possible that smaller units that are geographically close to each other or within clusters can collaborate on functions in order to effectively create a more complete school environment.

Annual targets

Total Outcome

Goal completion

30 %

51 %

Completely

34 %

51 %

Completely

The committee’s budget compliance following transfer of results

100 %

99,2 %

Completely

The committee’s budget compliance before transfer of results

100 %

98,8 %

Completely

The committee’s forecast accuracy T2

+/- 1 %

1 %

Completely

SEK 0.1 million

SEK 3,176 million

Completely

The city’s financial performance (lowest) The city capital costs per net operating costs (max)

7 %

6 %

Completely

100 %

Completely

The city’s solvency incl. short-term pension commitments

30 %

35 %

Completely

The city’s solvency incl. pension commitments in the long term

34 %

35 %

Completely

The city’s net operating costs per tax revenue (max)

Comments

The City of Stockholm’s Annual Report 2018

An economically sustainable Stockholm

tee present a greater surplus. Of the district service committees’ total surplus Östermalms district service committee answers for more than half of the surplus. The service committees’ results for the year provide a high budget compliance at 99.2 percent after profit transfers. In order to continue to secure an economy in balance, prioritization and efficiency improvements are underway and new solutions in, among other things, automation and digitization are being tested to reduce costs. Most service committees also describe how they are working continuously to achieve a high forecast accuracy. Among other things, internal training, development of models for calculation of forecasts and monthly budget follow-ups are implemented.

PHOTO: FAMILJEBOSTÄDER/NIKLAS PALMKLINT

A democratically sustainable Stockholm

A democratically sustainable Stockholm Stockholm inhabitants are involved in the development of the city and feel connected with their city. Their commitment is taken advantage of and gives direction to the future. Stockholm is an example in the protection of human rights and equal rights and opportunities for everyone. The overall assessment is that the orientation goal has been met completely during the year. The assessment is based on the fact that each of the eight underlying goals have been fully achieved.

The City of Stockholm’s Annual Report 2018

Stockholm is a city with gender equality where power and resources are distributed equally Stockholm shall be an equal city where power, opportunities and resources are distributed equally regardless of gender. All administrations must have gender- disaggregated statistics and analyze the resource distribution based on gender. Women’s organization should be supported and the participation of women on the labour market strengthened. The goal is Stockholm as an equal city where power and resources are distributed equally.

The program’s focus areas are based on the six national gender equality objectives with an addendum dealing with the city’s welfare and service.

During the year, the gender equality program was used by the city’s operations as a guide and a basis for priorities, establishment of routines and working methods. For example, there is a systematic effort in planning operations. The work aims to make the urban environment safe so that everyone, regardless of gender, gender identity or gender expression, can move safely in the city and to include more people from under-represented gender and groups in advisory dialogues.

Fulfilment of objectives for the year The annual target for the indicator Proportion of service commissions containing a gender equality analysis is partly achieved. The boards and the company boards have completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met completely in 2018.

In line with the focus area two in the program, economic equality, the city has made special efforts for women who are far from the labour market. One result is that an increasing number of women have had a Stockholmsjobb.

PHOTO: EMILIA BERGMARK JIMÉNEZ

The City of Stockholm’s Annual Report 2018

A democratically sustainable Stockholm

The first year of the program In mid-February, the city launched the Program for equality in Stockholm 2018–2022 at a big conference with over 150 participants. At the same time also two other city-wide programs were launched; for children’s rights and LGBT rights. Participants at the conference were executives and people working to support managers and businesses. They had the opportunity to take part of both the content of the programs and a learning example of a city district’s work with both youth centres and the network line 17-Gäris.

Goals for the area of activity Stockholm is a city with gender equality where power and r esources are distributed equally.

Continued learning Procedures and working methods to ensure gender-disaggregated statistics and gender analysis have been developed in many of the city’ activities. The fact that the work is progressing is confirmed by the fact that more than 30 percent more initiatives include gender equality analyses compared to last year.

All districts have worked during the year to support women’s organizations in collaboration with civil society. The goal was to increase women’s power and influence.

PHOTO: BJÖRN TESCH

Further, there is a great demand of skills development, especially linked to how the own operations can be developed to contribute to greater equality in the city. For example, the city archive has underlined women’s weak representation and retrievability in the personal archive at one of their open lectures.

A democratically sustainable Stockholm

Violence prevention in the city’s schools Working to stop men’s violence against women is one of the seven focus areas of the gender equality program. In accordance with the city’s special programs against domestic violence and honour-related violence and oppression, the city in the year had a focus on violence preventive work. For example, the city has continued to support schools that want to work with violence prevention programs Mentors in violence prevention, MVP (classes 7–9 and secondary school), and Act Together, AT, (class 4). Additional schools has recently started to work on the programs and they are now in five city districts. Working together to develop the work Four districts have participated in the SKL Project Model Municipalities aiming to develop gender mainstreaming by systematically comparing the work with each other. An important result of the project so far has been that the districts have detected similar challenges in social service work with children and young people. The city-wide gender equality network has held five meetings during the year. The topics of the meetings was the exchange of experience and best practice examples related to planning and monitoring. In addition an external lecturer was invited to the meeting in May for the city to get a common knowledge in gender equality budgeting.

to increase women’s power and influence, which is well adapted to the equality program’s first area of focus. The work has taken different forms. In many districts, women’s organizations have received grants, for example in order to increase election participation or for health-promoting initiatives. Several districts also have had dialogues and exhibitions arranged to make the needs and challenges visible.

The city supports women’s organization All districts have worked during the year to support women’s organization in connection with the civil society. The goal was

The city has also produced a report, Women’s power and influence. From three areas of rights; the right to participation and influence, the right to self-support and the right to a life

without violence, the report shows differences that affect the conditions for women in the city. For example, there are tangible geographical differences in the city regarding gainful employment, economic standard and health. In districts with a high proportion of people with a foreign background, women work to a lesser extent, have lower economic standards and are ill to a greater extent than in districts that are dominated by native-born people. The report contributes to the city’s gender equality work through an in-depth problem description for the program’s focus areas and by pointing out that factors other than gender affect women’s opportunities to have their rights respected.

Annual targets Total Outcome

Comments

Indicator

Percentage service reports that contain a gender analysis

The City of Stockholm’s Annual Report 2018

100 %

Goal completion

82 % Partially achieved

The outcome is still low, but has increased by 32 percent since VB 2017. Several committees have to develop procedures and methods to achieve the goal.

PHOTO: LIESELOTTE VAN DER MEIJS

A democratically sustainable Stockholm

The City of Stockholm is a good employer with good working conditions In order for Stockholm to be a democratically sustainable city and offer all Stockholm inhabitants a good service and quality, it is necessary for Stockholm’s city to attract and retain a variety of well-educated and competent employees and managers. The City of Stockholm as an employer must offer basic conditions that ensure working conditions, competence development and an open and respectful climate in the workplace. Investment in skills development Human resource management is still a priority-related issue in the city. Through the measures taken in accordance with the action plan for improved work situation for social secretaries and assistance officers, staff mobility has decreased considerably and leadership has been strengthened. In order to ensure mission-critical competence in the welfare professions, a number of educational initiatives have been implemented with the support of the City’s competence development initiative. For 2018, approximately SEK 17 million was granted for education and temporary work coverage and approximately 6,500 educational sites were offered.

Present leadership and active employeeship Leadership is important to ensure that the city has skilled and dedicated employees who contribute to the development of business operations. In March, the city’s management day was conducted on the theme of sustainable leadership. A present and clear leadership that promotes active employee ship is the basis for a business that is being developed. As part of the work to strengthen a present leadership, an investigation of the managers’ work situation in the elderly care has been carried out. Committees and corporate committees carry out local leadership programs and training initiatives within, for example,

Goals for the area of activity The City of Stockholm is a good employer with good working conditions. Fulfilment of objectives for the year The annual objectives for two of the City Council’s indicators were achieved fully and one was achieved partially. Boards and company boards have essentially completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met completely in 2018.

The City of Stockholm’s Annual Report 2018

the work environment and competence-based recruitment. City-wide initiatives include development groups for managers, directors and employees. The introductory program Manager in the city has been implemented with about 60 participants during the year. As part of the city’s action plan to improve the work situation for social welfare officers and assistance officers, a total of twelve leadership development programs have now been implemented since 2016, where a total of 170 managers at different levels within social services and clients in the elderly care has participated. During the year, the city’s trainee program for graduates started for the fifth time.

The city’s total absence from work has decreased. The city’s companies have a lower absenteeism than municipal committees. Since the companies are included in the total absence of 6.1 percent, which compared to 2017 is a decrease, when the sickness leave was 6.3 percent. At the beginning of the year, absenteeism in the boards were 6.4 percent and at year-end it was 6.2 percent. It is mainly the long sickness absence as decreased. Women’s sick leave has fallen more than men. Sick leave in the age group up to 29 years has increased significantly, while absenteeism in the age groups 30–49 and 50 and older, falls. During the year, the committees have worked structurally and forward-looking with restructuring and active rehabilitation and adjustment of tasks.

Through a strong focus on the development and quality of operations a good service is guaranteed. Continuity is an important factor for good quality and committees are working continuously to introduce full-time as a standard. The goal is for all new employees to be full-time and for all part-time employees to be offered full-time work. The proportion of full-time employees have continued to increase in 2018 and now totals 89.1 percent. For women, the proportion is 89 percent and for men 89.7 percent. The proportion of permanent employees is increasing and now stands at 89.2 percent. For women, the proportion is 90 percent and for men 86.4 percent. In December, a total of 44,892 people were employed in the City of Stockholm. Of these, 41,936 were employed in the city’s committees and 2,956 were employed in the city’s companies.

PHOTO: LENNART JOHANSSON

A democratically sustainable Stockholm

Long and sustainable working life An equal and sustainable working life give fellow workers good conditions to contribute to the high quality of work. The company boards are working to ensure that all employees are aware of the current procedures for victimization, harassment, sexual harassment, discrimination or retaliation. It is important

for the city to be a good employer where employees feel they have a meaningful work and can develop their skills. The results of the employee survey are generally good.

Indicator

Annual targets

Outcome last year Total Women Men

Active co-creation index

Index Good Employer

The City of Stockholm’s Annual Report 2018

Total

80 84

Results T2 Women Men

Total

80 84

Results VB Women Men

Goal completion

79 Partly Completely

Comments

Highly stable value over time.

Stockholm is a city that lives up to human rights and is free from discrimination Stockholm shall in its own operations ensure respect for human rights and take responsibility for the international agreements that Sweden has committed to. Efforts to combat discrimination must be systematic and characterized by learning.

Youth empowerment and influence The city’s work with young people’s organization is characterized by, in dialogue with young people, designing relevant activities that strengthen young people’s empowerment and influence. During the year several

Indicator

venues have been developed based on girls and LGBT-persons’ needs. Efforts have also been made to identify the girls’ perceptions of insecurity and to take relevant measures to increase girls’ safety in public space.

Goals for the area of activity Stockholm is a city that lives up to human rights and is free from discrimination. Fulfilment of objectives for the year he annual targets for all of the City Council four indicators were achieved completely. The boards have essentially completed the activities they set out in their business plans. Due to the above, the target of the area of activity is deemed to be met completely in 2018.

National minority rights The city’s consultation with national minorities contribute to give minorities influence on how businesses develop efforts to meet national minority rights. The work of building up the Finnish administration area is characterized by cultural promotion initiatives for children and the elderly. The Education Committee has continued the work developing the concept of educating ambassadors for human rights in about 20 primary schools together with Södertörn University College and the Swedish National Agency for Education. Part of the training is about national minority rights, with particular focus on Roma rights. The city’s work with national minorities has during the year been given a clearer focus and priorities through the policy documents decided by the city council Guidelines for the city’s work with national minorities and Stockholm’s Strategy for Roma Inclusion 2018–2022.

Annual targets

Total

Outcome Women

Men

Goal completion

Proportion of users in day center activity for elderly does not experience discrimination

Increase

96 %

91 %

92 % Completely

Proportion of users in the care of people with isabilities who do not experience discrimination d

Increase

91 %

93 % Completely

Percentage of users in social psychiatry who do not experience discrimination

Increase

91 %

90 %

92 % Completely

Proportion of users who do not experience iscrimination in pre-schools and family day care d

Increase

98 %

99 %

99 % Completely

Comments

The City of Stockholm’s Annual Report 2018

A democratically sustainable Stockholm

Strengthened work for rights During the year, the city continued to develop working methods that contribute to living up to human rights and thereby meeting the rights of the inhabitants. User and citizen surveys serve as a basis for a systematic effort to prevent and combat discrimination. The same purpose serves the city-wide program on LGBTQ people’s rights and the diploma program for a LGBTQ-competent approach. The city has also conducted dialogues with groups that can be particularly vulnerable to discrimination in order to increase knowledge of where there may be a risk of occurrence of discrimination and other offensive treatment. Other competence-raising measures on anti-racism, gender and vulnerable groups’ living conditions have been carried out with the aim to improve the quality of city activities and increase Stockholm’s access to equal service.

PHOTO: ISTOCKPHOTO

A democratically sustainable Stockholm

Stockholm is a city that respects and lives up to children’s rights in accordance with the UN Convention on the Rights of the Child Children’s rights should be central to all policy areas and permeate the city’s operations. In order to further guarantee the children’s rights perspective, the City’s Ombudsman for Children shall assist the businesses and make suggestions for improvements. With increased resources and ambitions within schools and welfare, the conditions for detecting each child’s needs are strengthened. Children’s rights perspective is implemented in the activity The implementation of Programs for children’s rights and influence in Stockholm 2018–2022 has begun. The City District committees have offered support in the work of implementing and the social welfare committee has developed support materials for children’s rights perspective in the social services. The Children’s Ombudsman has edited a booklet on how the city should work from a child rights perspective and has started a child rights network for the city councils. The district committees have appointed a local child rights coordinator who coordinates the work from a child’s perspective in the own administration.

The City of Stockholm’s Annual Report 2018

Results in the city’s user survey The city’s schools have strengthened efforts to combat abusive behaviour and increase safety in the school, including through a strengthened system of notification and follow up of abusive treatment. The results regarding the students’ experience of having been exposed to offensive behaviour or harassment in schools has nevertheless deteriorated in all classes. The results have improved only among boys in high school. In every other class , the results have deteriorated for both girls and boys. In all year classes, boys feel offended or harassed to a lesser extent than girls. The greatest difference is in the fifth class. The results in the city’s user survey in the school in 2018 were noticeably lower in all or more questions and year classes compared to 2017.

Goals for the area of activity Stockholm is a city that respects and lives up to children’s rights in accordance with the UN Convention on the Rights of the Child. Fulfilment of objectives for the year The annual targets for all of the City Council’s three indicators were achieved partly. The boards and company boards have essentially completed the activities they set out in their business plans. The City Executive Office’s assessment of fulfilment of the objectives is mainly based on the boards’ assessment of the target as the indicators are limited in relation to the case and refers only to the Education board’s activity. Due to the above, the target of the area of activity is deemed to be met completely in 2018.

83 %

of the students in class 5 knows their rights according to the UN Convention on the Rights of the Child.

PHOTO: GETTY

A democratically sustainable Stockholm

Indicator

Annual targets

Total

Outcome Women

Men

Goal completion

Comments

The percentage of students in class 5, who has not been subject to degrading treatment or harassment

75 %

64 %

59 %

69 % Partially

The total outcome and outcomes for girls and boys degraded in comparison with the previous year. Diversified efforts are underway to reduce of perception of offensive behaviour or harassment.

The percentage of students in class 8, who has not been subject to degrading treatment or harassment

80 %

71 %

68 %

75 % Partially

The total outcome and outcomes for girls and boys degraded in comparison with the previous year. Diversified efforts are underway to reduce perception of offensive behaviour or harassment.

The percentage of students in class 2 in secondary school, who has not been subject to degrading treatment or harassment

88 %

84 %

82 %

87 % Partially

The total outcome for girls is deteriorated in comparison with the previous year. The outcome for boys improved slightly. Diversified efforts are underway to reduce perception of offensive behaviour or harassment.

The City of Stockholm’s Annual Report 2018

Stockholm is a city where nobody needs to fear violence The City will strengthen efforts to combat domestic violence and honour-related violence and oppression. Employees in the city should have knowledge of violence prevention work. The city is responsible for working in prevention, in particular within the social services, the school and the pre-school, and for the part of the social services also the outreach part and providing support and protection to crime victims.

A democratically sustainable Stockholm

Continued work with the program against domestic violence and honour-related violence and oppression The city’s efforts to implement The program against domestic violence and honour-related violence and oppression has continued according to plan and the city council has carried out activities in accordance with the milestones of the program period. It will, however, take time before the measures take full effect and the work towards a Stockholm where there is no need to be afraid of violence should be regarded as a long-term effort. The social welfare committee has continued its task of educating and informing about the program and, as part of it, an education for employees and managers from various activities in the city has been carried out under the auspices of Karolinska Institutet. In addition, a variety of conferences, lectures, campaigns in the local press and in social media etc. have been implemented. Prevention and early intervention The city’s violence prevention work and efforts have continued to develop everything from early universal interventions aimed at all children, youth and adults before the violence has occurred, to efforts directed at perpetrators of violence. The crime prevention and security work is strongly linked to social preventive work. Parental support programs, training programs, field assistants’ reach out work and social intervention groups have continued to constitute important parts in preventive work.Parent support programs, training, field assistants, outreach and social intervention has continued to be important elements of prevention.

““

Focus on children and young people who experience domestic violence The city has, in the framework of the Commission for a socially sustainable Stockholm,

produced an interim report on children and young people who experience domestic violence in the family or from other relatives. The report proposes three overarching recommendations and twelve measures aimed at preventing violence and provide protection and support when violence has occurred. During the year the city’s social services also continued to work on strengthening the child’s perspective in all cases involving domestic violence and honour-related violence and oppression through training and collaboration. Collaboration between activity areas and between the school and social services has been in focus. Children of school age who live in sheltered accommodation were offered custom solutions for schools.

The City of Stockholm’s Annual Report 2018

Origo Resource Center provides an important tool in the city’s efforts to combat honour-related violence and oppression and during the year the cooperation with the district committees was strengthened.

New domestic violence center The city has established three new relationship-related violence centres that offers support and treatment for people who exercise or have been victims of domestic violence and honour-related violence and oppression. During the year, the city has established three new domestic violence centres. The relational violence center Innerstaden started its operations in June, the Relation Violence Center West at the end of August, and Relation violence center Southwest in early September. Relationship Violence Center Southeast is Established since several years and in total, there are thus four in the city.

Goals for the area of activity Stockholm is a city where nobody needs to fear violence. Fulfilment of objectives for the year The City will strengthen efforts to combat domestic violence and honour-related violence and oppression. Employees in the city should have knowledge of violence prevention work. The city is responsible specially in social service, school and pre-school for preventive work, and regarding social services also for outreach and to provide support and protection to victims. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the activity area is considered to be met Completely in 2018.

Strengthened cooperation against honour-related violence and oppression Origo Resource Center provides an important tool in the city’s efforts to combat honour-related violence and oppression and during the year the cooperation with the district committees was strengthened. The outreach and prevention work is carried out among other things through lectures, dissemination of information and the advice and support. During the year, 187 new young people, of which 24 boys, sought support from Origo regarding questions about honour-related violence or oppression. Young people who have contacted the activity anonymously through the “Ask Origo” function has increased in 2018 Professionals have been offered consultation and guidance in the 436 new cases, of which 17 percent regarding boys and young men. It is mostly professionals from the social services that have been in contact with Origo about individual cases. Just over 3,500 people took part in the operation programs and lectures throughout the year.

Stockholm is an accessible city for everyone Stockholm shall be an accessible city for all Everyone, regardless of functional capacity shall be entitled to privacy, autonomy and the opportunity to participate equally in the life of the community. Disability is not a property of the individual but is caused by how society looks, and therefore what counteracts participation in society must be identified and systematically removed. Interactive user surveys During the year, efforts to develop the city’s user surveys among people in need of support and services continued. The survey for users with intervention from group and service residences for the disabled has during the year been made more accessible to the users and thus increased the possibility of participation and influence. The city participated in the Swedish municipalities and county councils’

A New Program for accessibility and participation The city has strived to increase awareness of the UN Convention related to the rights of persons with disabilities and to support staff to take in a disability perspective in the work. During the year, the City Council adopted the Program for accessibility and participation for people with disabilities which contributes to the further strengthening and systematization of the city’s work in the field.

Goals for the area of activity Stockholm is an accessible city for everyone. Fulfilment of objectives for the year The annual target for five of six of the city council’s indicators were achieved fully, for one indicator no measurement was made. The boards and company boards have essentially completed the activities they set out in their business plans. In view of the above, the goal of the area of activity is considered to be met completely in 2018.

During the year, the city has arranged information meetings on the user survey for the contact persons at the district committees and arranged an education for the question assistants about how the implementation takes place. The user survey was conducted during September and October, and the results were presented at the dialogue forum for providers in the field of housing with special service, which took place in early December.

The City of Stockholm’s Annual Report 2018

A democratically sustainable Stockholm

PHOTO: GETTY

general user survey in the field of functional disability, which was carried out during the autumn for, among other things, users in group and service housing according to the Act on Support and Service for certain people with disabilities (LSS). The survey was conducted in Pict-o-state, which is a survey tool that uses pictogram symbols, photographs and recorded speech to present and clarify issues and answer alternatives for people with different forms of cognitive impairment. The response frequency increased slightly, but above all, the implementation meant that more users responded to the questionnaire completely independently. Of the approximately 750 people who answered the questionnaire this year, everyone answered without the support of another person or letting a family member answer for them, which is significantly more than in previous years. In previous years, only a third reported that they could respond to the survey autonomously, which means that about 500 more people have been given the opportunity to independently respond to the survey this year.

The revised program is characterized by a clear perspective of rights and points out eight focus areas that affect all the city’s activities. It has been used to identify, prevent and remove those barriers for participation in surroundings as lack of accessibility and unequal living conditions, pose to people with disabilities. As part of the implementation a conference on the contribution to the city’s quality development was organized. Increased collaboration regarding health promotion The city has for years worked to develop health promotion for people with disabilities. Through the network Leisure for all the city has continued to coordinate and develop targeted leisure facilities for children and youth with disabilities. Good examples of collaboration on activities include when children and young people and their families were invited to Strandhäng at Stora Sköndals

Bath for people with disabilities in August, and when a music festival was organized by and for young people with and without disabilities in June. Furthermore, representatives have participated in the application network for the city’s administrators, where they have been informed about which activities the city has to offer the target group. Contacts have been communicated between the city’s child care network within the field of disability and coordinators of activities. During the year, the city has worked on developing a digital solution for accessible information about cultural and leisure offerings that look to the needs of adult persons with intellectual disabilities. The city participated in the autumn’s dialogue forum for operators in daily operations and housing with special service for adults, where information was given about the tool, which has been named fun-in-town.

focus areas

are pointed out in the city’s program for accessibility and participation for people with functional impairment. The program will increase knowledge about the UN Convention relating to the rights of persons with disabilities and support staff to take the disability perspective into the work.

PHOTO: GETTY

Ett demokratiskt hållbart Stockholm Indicator

Annual targets

Outcome Women

Total

Satisfied users – daily activities

88 %

92 %

90 %

Satisfied users – LSS residents, adults and children

88 %

Goal completion

Men

93 % Completely -

Satisfied users – short term housing

90 %

87 %

91 % Completely

The user’s perception of security – LSS residents, adults and children

91 %

92 % Completely

Proportion of people with disabilities who feel that they can influence the intervention design

77 %

79 %

80 % Completely

Proportion of people with disabilities who feel that they are treated well by the city staff

89 %

93 %

92 %

94 % Completely

The City of Stockholm’s Annual Report 2018

Comments

No measurement

Stockholm is a democratic city where the residents have influence Stockholm’s inhabitants shall feel that they are able to influence the development of Stockholm and the future that we are leaving to future generations. An important work during the term of office is to strengthen representative democracy. The city must take responsibility for increasing participation in elections in those parts of the city where it is low. All should be well informed about how they can participate in and influence the society.

The city has engaged in active efforts to reach those whose voices are not normally heard and to strengthen the residents’ ability to exercise their democratic rights. Several committees have been working to encourage first-time voters to vote. Targeted information initiatives for increased participation in elections have been implemented by citizen hosts, election ambassadors and democracy coordinators in the priority areas. Enskede- Årsta-Vantör district committee’s initiatives, for example, resulted in an increase of participation at the elections in Rågsved by 2.8 percentage points compared to the elections in 2014. The city committees and company boards are working continuously to promote increased influence by different types of dialogue and communication activities as citizen dialogues, citizen budget, citizen, security walks, events in the squares, advisory means for the

Indicator

committees’ work, co-operation with the civil society and other stakeholders as property and business. The city has used social media to reach out to more people. Opportunities for dialogue and influence has also been given by The Internet site and pod Stockholm is growing and the Stockholm room which is attracting more and more visitors. The city’s efforts to reach out to the residents has been carried out in cooperation between the committees and company boards.

Fulfilment of objectives for the year The annual objectives for three of the City Council’s indicators were achieved fully and two were achieved partially. All activities decided by the City Council have been implemented. The boards have conducted the activities they set out in their business plans. In view of the above, the goal of the activity area is considered to be met Completely in 2018. The City Executive Office’s assessment of fulfilment of objectives is based on the above and that 27 out of 30 boards state complete goal fulfilment for the business area, the remaining 3 boards state partly goal fulfilment.

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One of the city’s tools for receiving comments is the Leave a c omment-app.

One of the city’s tools for receiving views is the Leave a comment-app. It has been further developed and marketed during the year, which has resulted in an increase in the number of comments received. It provides a valuable knowledge base in the planning of the city’s public spaces. Information about the app has been specifically addressed to the outskirts of the city with a focus on security.

companies have actively worked on area development, participation and influence, as well as the possibilities for making premises available for association life. The work is often done in co-operation with the relevant District committee. Local development programs The city’s local development has been further developed and the work of the city district committees’ local development has continued during the year. There are several measures implemented to create a more equal Stockholm. Several committees wish to highlight the positive aspects, that the work of the local development programs has meant for interaction between city committees and company boards and other units as the civil society, property owners and businesses.

The town has a rich social life with which prolonged interaction occurs. During the year, in order to support the associations, the school has made available school premises outside school hours to the associations. The first school premises Became bookable in the booking system in autumn 2018 and an inventory has been carried out to enable more bookable school premises. In addition to committees, the municipal housing Annual targets

Total

Outcome Women

Men

Goal completion

Proportion of Stockholm residents who have confidence in the district administration in the area where they live

42 %

43 %

42 % Completely

Proportion of locals who know how they can influence decisions affecting their local environment

25 %

24 %

24 % Partly

10,000

9,966

Number of booked hours in school premises outside school hours

Partly

Comment

The goal is not reached completely, but is an improvement from the previous year. The goal is not reached completely. The booking system is new for 2018 and opportunities to make more school facilities bookable will be developed.

The City of Stockholm’s Annual Report 2018

A democratically sustainable Stockholm

Participation and influence The vision of a democratically sustainable Stockholm has characterized the city’s work during the year. The city’s mission to strengthen the representative democracy has contributed to the increased influence. The Participations in the elections to the City Council 2018 increased in comparison with the elections of 2014. In the democracy survey 2018, the percentage of residents who say they have confidence in the administration’s activities increased from the previous year. This also applies to residents who believe that they can influence their environment. The increase is greatest among women.

Goals for the area of activity Stockholm is a democratic city where the residents have influence.

PHOTO: JENS JOHANSSON

A democratically sustainable Stockholm

Public procurement Stockholm will use public procurement as an instrument to pursue the development of socially, environmentally and economically sustainable direction. Welfare activities will be characterized by high quality, transparency and good working conditions. Social considerations will be used in the procurement, for example to counter rogue providers and contribute to long-term unemployed getting a job. Sustainable procurement in environmental issues The Environmental and Health Committee provides advice and support to other businesses in the city to create sustainability in procurement. This regards among other things requirements for the procurement of plastic products, requirements for vehicles and transport. The city’s team category for vehicles works strategically and contributes with their specialist know-how related to procurement and follow up services where transportation is included. 92

The City of Stockholm’s Annual Report 2018

Through the Chemical Centre the city has contributed to the development and evaluation of chemical requirements in several contract areas, such as office supplies, cleaning services, medical supplies and incontinence articles. Quality of welfare In the home care area, the city has been working to inform potential private tenderers about the conditions for performing the home care service assignment. During the year, only six applications have been granted. With a view to maintain good quality home care, follow-ups of existing home care providers

Goals for the area of activity The City develops public procurement in a sustainable direction. Fulfilment of objectives for the year The annual target for the City Council’s indicator was Totally achieved. The reasons why the boards do not reach their goals are essentially that information and training initiatives are not adequately implemented. The boards have essentially completed the activities they set out in their business plans. In view of the above, the goal of the activity area is considered to be met Completely in 2018.

are carried through which has led to ending of the agreements with nine providers. For in- house home care providers, an assignment description has been produced that corresponds to relevant parts of the tender documents/ contracts for private home care providers. The inspection of the care sector (IVO’s) decisions affects the city’s users. During 2018, IVO has issued about 15 permits for contracted operations within the city’s elderly care but permission is still lacking for five contracts.

procurements were conducted in 2018

the establishment of the categories of meals and foodstuffs as well as white goods has started for the previously established vehicle category. The procurement of a Group-wide system support for electronic procurement and contract management has been delayed as a result of a reviewing process. The contract is advertised again in early 2019 The purpose of the system support is to create, together with the existing purchasing system, a digital support, from procurement to ordering and payment. During the year, a group-wide

information platform was developed around unified working and supporting documents in the organization. Tools for spending analysis has been drafted and analyses have been made for the initiated purchasing categories. There is a need to strengthen skills in the procurement and purchasing area, partly in connection with the introduction of new systems and procedures. Lack of skilled personnel in recruitment, however, remains a challenge for the city. During the year, 435 procurements were carried out.

PHOTO: ANNA ÅBERG

Streamlining procurement and follow-up IWithin the city’s educational operations, the procurement for cleaning has been divided into three geographical areas, with the aim to increase interest among small and medium-sized enterprises to participate in the procurement. The procured local framework contracts means that schools do not need to carry out their own procurement which entails streamlining regarding the current cost of procurement and contract monitoring. Focus has also been placed on increased contract follow-up, for example in the areas of staffing services and cleaning. The prioritization of follow-up of contract areas has been based on a future risk and materiality analysis. Development of the city’s purchasing and procurement activities Within the city’s purchasing and procurement area a purchasing council has been established. The Purchasing Council plays a central role in enabling a municipal groupwide strategic purchasing coordination and follow-up of procurement and purchasing issues in the organization. The Purchasing Council manages, among other things questions about priorities and the establishment of purchasing categories. During the year,

Indicator

Percentage of procurement contracts where a plan for systematic follow-up has been developed

Annual targets

Total Outcome

85 %

87 %

Goal completion

Totally

Comments

Refers to both boards and company boards.

The City of Stockholm’s Annual Report 2018

A democratically sustainable Stockholm

Employment requirements contribute to jobs and internships The Labour Market Committee leads the supportive work of using employment-promoting requirements in the committees’ and companies’ procurements. By creating an inclusive labour market more people get the opportunity for employment in the form of jobs or internships. During the year, 23 men/ boys and 27 women/girls found employment at a supplier where actions to promote employment have been used in connection with the procurement. In addition, the work has led to internships for 23 men/boys and 34 women/girls.

435

PHOTO: UNSPLASH

Economic and Financial analysis Economic and Financial analysis

The annual report covers the City of Stockholm Municipal Group. The Municipal Group includes the City and the municipal companies. Municipal companies refer to the City’s majority-owned companies within the Stockholms Stadshus AB Group. Stockholms Stadshus AB is owned by the City of Stockholm and constitutes a unifying function for most of the City’s limited companies. For a more detailed description of the limited companies, please refer to the annual report for Stockholms Stadshus AB, which can be ordered from stadshusab.se.

The City of Stockholm’s Annual Report 2018

About the Municipal Group Profit/loss of the year The municipal group’s result includes the result for the city, the result for the Stockholms Stadshus AB Group, the result for the city’s other companies that are not included in the Stockholms Stadshus AB Group and municipal associations. After that intra-group transactions, including dividends, have been eliminated, the profit after taxes and financial result for the municipal group amounts to SEK 3,132 million (SEK 3,444 million). Results for the municipal group, SEK million 2018

2017

2016

2015

2014

3,132

3,446

5,407

2,606

4,087

The Stockholms Stadshus AB Group’s total profit after financial result amounted to SEK 1,897 million (SEK 2,331 million). The Stockholms Stadshus AB Group’s dispositions and taxes amount to SEK 301 million (SEK 418 million) and the profit for the year after tax amounts to SEK 1,598 million (SEK 1,913 million).

Financial income and expenses The financial result for the municipal group is negative and amounts to SEK -462 million (SEK -559 million). The financial result was positively affected by low interest rates. Cash flow analysis Broadly speaking, the entire municipal group has joint management of financial flows administered by the city. The municipal- owned companies either have a claim on or a debt to the city. According to the finance policy the City of Stockholm Municipal Group, the Municipal Group’s cash flows must be offset against each other and all external loan financing and placement must take place centrally.

Equity/asset ratio

The equity/assets ratio shows equity in relation to the total assets. The equity for the municipal group has increased by SEK 3,124 milion and amounts to SEK 123,882 million (SEK 120,698 million). The change in equity is mainly attributable to the profit for the year of SEK 3,132 million. Total assets amounted to SEK 211,816 million (SEK 198,397 million). This results in an increase of total assets of SEK 13,419 million. The Municipal Group’s equity ratio amounts to 51 percent, including pension commitments (52 percent). A long-term stable equity ratio is good for giving the municipal group a good long-term ability to pay and thus good financial preparedness for the future. The table below shows the equity ratio for the period 2014–2018. Equity for the Municipal Group (including pension liabilities), percent 2018

2017

2016

2015

2014

50.6

52.3

53.3

55.2

Investment The Municipal Group’s gross investments are still at a high level and amount to SEK 19,171 million (SEK 15,912 million) in 2018. Gross investments for the Stockholms Stadshus AB Group are also still at a high level and amounts in 2018 to SEK 2,582 million (SEK 10,874 million) The investment volume has increased in recent years and the number of large projects exceeding SEK 300 million was nearly 60 at year-end. The housing companies are responsible for new production of housing and carry out renovation work in existing properties. The housing companies’ investments in new production and renovation projects amount to just over SEK 6 billion, which corresponds to almost half of the group’s total investment volume during the year. During the year the housing companies started building about 1,400 new homes. SISAB’s investment amounts to just over SEK 2.4 billion. The investments mainly relate to the construction of the Bobergskolan in Stockholm Royal Seaport, rebuilding of Hökarängsskolan and rebuilding and extension of Kämpetorpsskolan.

Stockholm Water and Waste AB’s investments amounts to over SEK 2.1 billion. The investments are attributable to measures in both existing network and in development areas and the project Stockholm’s future sewage treatment (SFA). The chart below gives an overview of how the gross investments for the municipal group have been distributed in 2018. The investments consist primarily of new housing construction and acquisition of land and property. With ongoing new facilities is meant investments in fixed assets of significant value that are under construction, but not yet completed.

24 %

74 % ■ Acquisition of land and property ■ Acquisition of other assets ■ Investment in constructions in progress Financial operations The Municipal Group’s borrowing requirement is managed centrally by City of Stockholm’s treasury. The purpose of the treasury is to support the core business and to utilize the economies of scale in the financial management. This is achieved through, among other things, a common group account system, which enables all flows to be netted internally before the City of Stockholm finances the remainder externally via the capital market. In this way, the administration of the internal flows is facilitated while at the same time it gives a lower overall financing costs. The Municipal Group has a very high credit rating. The rating should reflect the Municipal Group’s ability to meet its payment obligations and financial obligations in the short and long term. The credit assessment is carried out by the credit rating agency Standard & Poor’s, which gives the City of Stockholm Municipal Group the The City of Stockholm’s Annual Report 2018

Economic and Financial analysis

Depreciation Depreciation according to plan for fixed assets increased by SEK 392 million in 2018 and amounted to SEK 5,219 million (SEK 4,827 million). The increase in depreciation is due to the fact that investment volumes, particularly in housing has remained at a high level in recent years. The fact that the depreciation does not increase more despite the high investment volumes is mainly due to the fact that investments are made in ongoing new facilities that will not begin to be written off until they are fully completed.

Balance Sheet

highest possible rating for both the short and long-term borrowing, A-1 + and AAA respectively. The rating is updated every six months and was confirmed November 16, 2018. For investors, this rating means that it is associated with a very low risk to lend capital to the City of Stockholm. This enables the Municipal Group to continue to receive favorable loan terms.

derivatives, thus there is no currency risk in the debt portfolio. In the analysis of borrowing, unless otherwise stated, amounts including hedging with derivatives are used in line with hedge accounting. Outstanding derivatives include swaps and futures. The average interest rate for the Municipality Group’s external debt portfolio amounts to 0.8 percent for 2018 and the year’s interest expense for the external debt portfolio is SEK 395.9 million. The average fixed interest term for the external debt portfolio as of December 31 is 1.9 years (2.0).

The Municipal Group’s borrowing The City of Stockholm Municipal Group had on December 31, 2018 an external debt portfolio of SEK 48,105.7 million (38,619.2). The external debt portfolio has during the year increased by SEK 9,486.5 million. The increase in the debt portfolio depends on a high level of investment in the Municipal Group. The investments is, as in the previous year, mainly due to the building of housing, schools and infrastructure projects.

The basis for an effective financing is good forecasts of the Group’s cash flows. The companies and the largest investing committees in the municipality group establish both short-term and more long-term forecasts of their cash flows. These forecasts are a prerequisite for the internal bank to be able to provide the municipal group with cost-effective financing.

The Municipal Group manages the debt management efficiently within the limits that exist in accordance with the established finance policy. In order to achieve this, among other things, City of Stockholm borrows with both fixed and variable interest rates on domestic and international loan markets. The City of Stockholm also works actively to manage the maturity structure and collaborates with many different counterparties, which entails reduced refinancing risk.

The municipal group mainly borrows through various market programs directly on the financial market. This is done by the City of Stockholm issuing certificates (short-term loans) and bonds (long-term loans). In addition to financing through the market programs, borrowing is made from the European Investment Bank (EIB) and the Nordic Investment Bank (NIB). Utilized nominal amounts per December 31 are indicated in the table below. The Municipal Group has additional financing backup in the form of a bank overdraft facility of SEK 4,000 million and a credit facility in the form of a syndicated loan agreement of SEK 5,000 million. An additional credit facility of SEK 1,500 million in the form of a bilateral loan agreement will be available in February 2019. The financial policy sets the limits The financial policy sets goals and guide-

Percentage of loans maturing by December 31, 2018 100 % 90 % 80 % 70 % 60 % 50 % 40 % 30 % 20 % 10 %

The City of Stockholm’s Annual Report 2018

ye a

rs 0 >1

ye a

–1

ye a >9

–9

ye a

rs ye a

>7 –8

rs –7

ye a

–6

ye a

rs ye a

>4 –5

ye a

>3 –

ye a

>2 –3

–2

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Economic and Financial analysis

According to the finance policy, derivatives may be entered into to manage the interest rate and currency risk arising. Currency and interest rate derivatives amounts at December 31, to a total nominal amount of gross SEK 13,703.0 million for the hedged rate. All derivative instruments outstanding on the balance sheet date are hedging instruments with the purpose of managing interest rate and currency risk in the municipal Group’s debt portfolio. The part of the external debt portfolio that is in foreign currency, 20.0 percent, is converted into SEK through

PHOTO: GETTY

Programme size, local currency

Utilised, local currency

Utilised, SEK million

12,000

700

1,500

361

10,000

8,000

3,497

33,345

European Investment Bank (EIB), SEK

7,700

Nordic Investment Bank (NIB), SEK

5,000

Market programme

Municipality Certificate (KC), SEK Euro Commercial Paper (ECP), USD Medium-term note (MTN), SEK Medium-term note (EMTN), EUR Other loan programs

lines for financial operations in the Municipal Group and identifies the financial risks the Municipal Group is exposed to and how they should be handled. Risks associated with the City’s financial operations relate primarily to credit and market risk. There are also other risks such as liquidity risk, funding risk and operational risk. Credit risk is the risk that a counterparty can not meet its payment obligations to the Municipal Group. The credit risk is measured as the credit value per counterparty or instrument. Market risk is the risk that changes in interest rates, foreign exchange rates and prices leads to an unfavourable change in the value of assets and liabilities. Interest rate risk is expressed as the average fixed interest period (duration) for the external debt portfolio and a defined interest maturity structure. The duration should not be less than 1.5 years or more than 4.5 years. The financing risk

is the risk of being unable to refinance the capital when due or only manage to borrow at significantly higher cost. The financing risk is managed by distributing the capital due, as far as possible based on market conditions, over time. In order to minimize the risk of unforeseen higher interest expense, caused by interest rate and currency changes during the term of borrowings in debt portfolios the City of Stockholm is allowed to use derivatives. The City of Stockholm has decided to have a coherent central finance function, the treasury, which handles the aggregated risks, securing financing, cash management, banking relationships and so on. A central management also means reduced financial risk and allows for a better internal control. The risks are monitored continuously by the risk control function and reported to the City Executive Board.

About the City

Taxes and government subsidies have affected the profit by SEK 259 million. The tax base development has been worse than expected in 2017 and 2018, which had a negative impact on earnings, while compensation for, among other things, tax to pensioners and grants to stimulate construction activities increased the result. The city’s operations leave a surplus of SEK 375 million, of which SEK 53 million relates to the district committees. The net expenses

excluding items affecting comparability have during the year increased by 4.4 percent (2.6) while tax revenue and government subsidies increased by 2.9 percent (3.7). The development means that the city’s expenses are growing faster than income and such a trend is not sustainable in the long run. Profit adjusted according to balanced budget requirements of the Local Government Act, shows that the city meets the requirement as the result is positive and amounts to SEK 2,613 million (SEK 828 million). According to the city’s investment strategy the profit by the sale of the development areas should finance development activities, as for exemple streets and parks. The outcome, even when those profits are deducted is still positive and amounts to SEK 624 million. The result includes a dividend from Stockholm Stadshus AB of SEK 1,700 million.

The City of Stockholm’s Annual Report 2018

Economic and Financial analysis

Profit/loss of the year The city’s profit for the year amounted to SEK 3,176 million (SEK 2,361 million). Capital gains and sales of development properties constitute the largest part of income, SEK 2,552 million. Large sales of land has taken place mainly in Hagastaden but also in Hjorthagen and Liljeholmen. The final stage of divestments in Botkyrka was made in 2018.

Results as of December 31, SEK million

2018

2017

2016

2015

2014

Results of changes in equity

3,176

2,361

4,643

1,924

3,450

Including capital gains

2,552

4,163

4,426

1,426

1,912

Operating income Operating revenues amounted to SEK 12,298 million (SEK 12,103 million), which is an increase of SEK 195 million or 2 percent compared with last year It is mainly parking and illegal parking revenues that increases. The tariff for illegal parking were raised at the end of June last year. The introduction of a parking plan has meant that areas in the outer city have been covered with parking fees and the fees in the inner city have been raised. State subsidies have decreased by 8 percent. Grants for refugee reception from the Migration Committee have decreased by more than SEK 600 million as a result of reduced refugee reception and changed compensation system. Government grants for education activities, on the other hand, have increased as a result of various targeted government grants to strengthen the education sector, such as the teachers’ wages lift, grants an equivalent school, primary education and investment for increased equality. Also government grants for enhanced staffing in elderly care has increased.

Economic and Financial analysis

Operating costs Operating costs, excluding depreciation, amounted to 54,877m SEK (SEK 52,947 million), which is an increase of SEK 1,930 million or 3.6 percent (2.0 percent). Population growth has slowed but is still high, 12,493 people in the past year. Inflation has increased to 2.0 percent compared to December 2017. Some major cost items are described below. Grants and transfers

The cost of grants and transfers amounts to 2,314 million (SEK 2,278 million), an increase of 1.6 percent compared with the previous year. Financial assistance increased slightly and amounts to SEK 947 million (SEK 931 million) due to a rise in the national norm 2018. Number of assistance households in has decreased by 2.8 percent in a twelve-month perspective. Of the adult assistance recipients in December, 42 percent were unemployed (44 percent). Remuneration to the insurance fund for personal assistance has decreased while contributions to associations are increasing. External providers

The costs of external providers is SEK 19,136 million (SEK 18,899 million) a cost increase of 1.3 percent (0.9 percent), that is, a lower increase than inflation. For the other education business area, more than 98

The City of Stockholm’s Annual Report 2018

70 percent of the activities are performed by external contractors, and half or more than half of the activities are outsourced for the areas of activity for elderly, care for the disabled, education for upper secondary schools and infrastructure. In relation to the previous year, the proportion of operations performed by external providers has decreased mainly in terms of individual and family care due to reduced refugee reception. With regard to other businesses, the procured business section has only changed marginally. More than one third of the city’s total costs consist of contract costs. Consulting expenses

The costs for consultants amounted to SEK 1,178 million (SEK 999 million), an increase of SEK 179 million or 17.9 percent (-9.9 percent). The increase is due to the increased costs for IT consultants. The implementation of the new common IT service has started. The introduction of the School Platform and eDok, the system for case management, has also involved the use of IT consultants. Personnel costs

Personnel costs in 2018 increased by 5.8 percent (5.6 percent). The number of full-time workers has increased over the year by 1,415 people (1,092), or 3.3 percent. The increase is significantly greater than in 2017. The increase in full-time employees is attributable to the retraining of external operators and increased activity as a result of a growing city. The average salary increase for the year amounted to 2.8 percent. The premium for the contract group health insurance, which is included in personnel costs, has been paid in 2018 as well as 2017 due to positive return on assets under management. Training activities are the activities, which in absolute terms increased the most. Geriatric care and care of the disabled as well as the joint administration increases relatively much. In the elderly care, a project to strengthen the staffing continued. Joint administration has partly increased due to the implementation of the election 2018. Agency staff has decreased. During the year, sick pay has increased by 7.5 percent (7.5 percent). The increase was greatest the first quarter of 2018 and has since subsided. Mainly the cost of long-term sick leave has increased. Items affecting comparability Revenues affecting comparability amount to SEK 3,442 million (SEK 4,414 million)

and the exceptional and extraordinary costs to SEK 1,601 million (SEK 3,477 million). Revenues relate to sales of which the development revenue amounts to SEK 2,490 million and capital gains to SEK 552 million. Sales have been made primarily by land in Botkyrka. Areas of exploitation have been sold in Hagastaden, Hjorthagen and Liljeholmen, among others. Costs affecting comparability include supplementary provisions. For example, the allocation to the bus terminal Slussen has been expanded. As a comparative affecting cost, also the book value of sold development properties is reported at SEK 501 million (SEK 251 million ). Consumption of mortgage of equity made in the financial statements in 2017 is reported as items affecting comparability and amounts to a total of SEK 661 million (SEK 207 million). The funds have been used for IT costs, among other things, for the implementation of new procurement regarding the common IT platform, development of the School platform, the case management system eDok, modernization of social systems and for social investments and the competence development initiative. The results of funeral operations of SEK 36 million has been allocated. Depreciation Depreciation for the year, including disbursements, amounted to SEK 1,454 million (SEK 1,322 million), an increase of SEK 132 million. Depreciation according to plan has increased by 11 percent due to an increased investment volume in recent years. Implementation of component depreciation from 2015 has meant that planned maintenance has been moved from the income statement to the investment activities. This gives rise to an increase in depreciation over time, while maintenance costs decreased in the income statement. Taxes, government grants and equalization The year’s tax revenue amounted to SEK 47,714 million (SEK 46,252 million), which is an increase of 3 percent. The close-out netting for 2017 was negative due to lower tax base growth than expected. The forecast for 2018 is also negative and the combined effect on the outcome is SEK -195 million. Net for general government grants and equalization amounts to SEK -3,745 million, an increase of SEK 210 million. From 2016, the equalization rate regarding income equalization has been raised from 60 to 85 percent of the county tax rate in the range between 115 and 125 percent of the average tax, which greatly increased the Stockholm fee. Stockholm’s tax base is growing faster than the rest of the county, which gives greater tax revenues but also a higher income equalization fee.

Tax revenues and general government grants have increased by 2.9 percent in total compared to the same period last year. Stockholm has received a government building bonus of SEK 117 million (SEK 188 million). Financial income and expenses The financial result includes net interest income for the city and other financial income and expenses. The city’s financial result amounts to SEK 1,856 million excluding items affecting comparability (SEK 969 million), of which dividends from Stockholms Stadshus AB accounted for SEK 1,700 million (SEK 800 million).

The City’s equity ratio amounted to

The Municipal Group’s equity amounted to

35 % 51 %

PHOTO: BJÖRN TESCH

Net interest income for the city is positive and amounts to SEK 335 million (SEK 334 million). The city manages the corporate group’s borrowing against interest including cost compensation. The city’s loan debt increased during the year by SEK 9.5 billion, the highest increase over the past five years. Interest rates remain low and hold interest rates down despite increased loan debt. As the companies’ interest compensation to the city follows the level of interest costs, the net interest income is only marginally changed. The item financial income and expenses also includes the cost of hedging the pension liability amounting to SEK 147 million (SEK 140 million). The city’s holding in Stockholm Terminal AB was sold during the year with a capital gain of SEK 11 million. As an exceptional and extraordinary cost- related financial expense, the indexing of the change in price is reported primarily for Sweden’s negotiation, SEK 67 million (SEK 97 million).

Economic and Financial analysis

Balance Sheet The city’s total assets increased by SEK 11,787 million to SEK 159,061 million (SEK 147,274 million). The city administers funding for municipal companies. Net claims on the companies has increased with SEK 8.4 billion, which influenced the total assets. The City’s investment activities, tangible fixed assets and development properties contribute to the increase in total assets by SEK 5.0 billion. External loan debt has increased by SEK 9.5 billion due to increased lending to the companies and that the city’s investment activities could not be covered by earnings and depreciation during the year. In 2018, the city had liquid assets of SEK 50 million at the end of the financial year, while the city’s overdraft facility was utilized in 2017 by SEK 476 million. Assets

Fixed assets have increased by SEK 5.1 billion and amount to SEK 81,960 million (SEK 76,833 million). It is mainly tangible The City of Stockholm’s Annual Report 2018

fixed assets that have increased, but purchases of tenant-owned apartments of SEK 0.2 billion also increase the financial fixed assets. Investments total SEK 7.3 billion, depreciation to SEK 1.5 billion and the book value at sales to SEK 1.1 billion. The investment volume has increased by SEK 3 billion or 70 percent the past five years. The dominant investment project in 2018 was Slussen. In residential construction, Hagastaden and Norra Djurgårdenstaden draw most resources. A reclassification has been made during the period from fixed assets to development properties with SEK 170 million due to changed assessment of what will be sold. Investment income in the form of fees and grants is grossly reported at the time of the activation, so that income is recognized as a liability and recognized as revenue in line with a plant’s consumption This investment income amounts to SEK 210 million (SEK 45 million). Current assets Current assets increased by SEK 6,660 million and amounts to SEK 77,101 million (SEK 70,441 million). The City’s claim on the company group has increased by SEK 7,099 million. The city tries to minimize the liquid assets due to the current interest rates. Receivables from the state, including state subsidies receivables decreased by SEK 0.1 billion. It is mainly the claim on the Migration Agency that has decreased. Equity and liabilities

Economic and Financial analysis

The equity has increased by SEK 3,176 million to SEK 72,937 million (SEK 69,760 million). In the financial statements 2017, equity was subscribed for future investments during 2018–2020. Of mortgage funds, SEK 1,830 million, SEK 573 million were spent during the year. The funds were partly used for IT investments, the largest of which is the implementation of procurement made for the operation of the common IT platform. During the year, investments in social investments of SEK 42 million and competence development with SEK 46 million were also made. Long-term liabilities have increased by SEK 7,980 million to SEK 41,093 million (SEK 33,111 million). The companies’ increased borrowing requirement has been met by taking up bonds, but also promissory note. The city’s large investment volume has meant that the city has had to use part of the assets and thus extra loans have had to be taken up in order to pass on to Stockholms Stadshus AB Group. Loans that fall due for payment within one year are classified as short-term loans. (See the section regarding financial policy for closer analysis.)

100 The City of Stockholm’s Annual Report 2018

Short-term liabilities have increased Marginal by SEK 10 million to SEK 26,767 million (SEK 26,757 million). The short-term loans increased by SEK 1,780 million. It is a new deposit and certificate loan that causes the increase, while the overdraft facility was not utilized at the end of the financial year. In 2017, the credit amounted to SEK 0.5 billion. The city’s group companies have overdraft facilities towards the city. As these have a positive balance, a short-term debt arises for the city. This debt decreased during the year by SEK 1,259 million.

amounts to SEK 16,736 million including special payroll tax (SEK 16,905 million). The report, of this part of the pension liability as a contingent liability, takes place according to the so-called mixed model. The balance sheet thus shows a more positive picture of the financial position. However, this part of the debt is included in the calculation of the equity ratio. The year’s reduction of the liability is less than estimated, but a continued reduction of the contingent liability according to previous trend is, however, to be expected.

The table shows remaining mortgage funds

The accrued cost for defined contribution oldage pension and special payroll tax on pension costs are reported as short-term debt and amounts to a total of SEK 901 million (SEK 909 million). From 2018, part of the pension contributions will be paid during the year.

IT investment

Common IT Platform (GSIT 2.0)

SEK million

397

School Platform

Stockholm Information and Communication Technology (SIKT)

Upgrading of the e-service platform

Document management system E-Doc

Public Wifi network

GDPR – Data Protection Regulation

Stockholm.se – modernization of the city’s website

Smart City

159

Modernizing social systems

523

Decision Support

Version Changing financial system Agresso

Digital renovation

Total

1,257

Means for competence development

138

Social investments

248

Equity/asset ratio The equity/assets ratio shows equity in relation to total assets. The measure is reported including the City’s liability for pension commitments. The equity/assets ratio amounts to 35 percent (36 percent). The change is affected by an increased total assets. Pensions The debt for defined benefit old-age pension including special payroll tax on pension costs is reported in the balance sheet with a total of SEK 6,621 million. Pension provisions increased during the period by SEK 555 million. The calculation is based on Swedish Association of Local Authorities and Regions’ guidelines, RIPS17. The basis for the calculations is the pension agreement KAP-KL. For employees born in 1986 and later, the agreement is subject to AKAP-KL, which is fully defined contribution. Pension debt earned up to and including 1997 constitutes a contingent liability and

Co-financing In order to be able to carry out important investments, the City co-finances a number of large state and regional infrastructure projects. The city directly finances these commitments at the time of the signing of the agreement and records the commitment as an allocation from which payment is made. The City has during the year paid SEK 364

million as co-financing to Citybanan, the bus terminal at Slussen, expansion of the subway in accordance with the Stockholm Agreement and SEK 23 million for strengthening and renewal of the electricity network in the Stockholm region. More than half of the payments relate to the expansion of the subway. Citybanan was completed 2018. In addition, there are provisions for co-financing where no payments have been made during the year. Co-financing of the construction of the Northern Link is almost complete. Actions are underway in Nationalstadsparken. The largest amount of the provision is a consequence of the Swedish negotiations where Stockholm has undertaken to co-finance the metro between Fridhemsplan and Älvsjö, an extension of the Roslagsbanan to the city and Spårväg Syd, but the construction has not yet started. Tvärbana Norr, Kistagrenen, which the city co-finances according to the Stockholm negotiation, where payments are expected to be made at future commissioning. Lease contracts The value of the city’s future commitment for operational leasing has increased by just over SEK 2 billion amounts in the financial statements 2018 to SEK 11.3 billion, of which 84

percent, SEK 9.5 billion, relate to a contract with the city’s companies. One contributing factor to the increase is the new high school Anna Whitlock, which opened in August 2018 as well as volume increases. Virtually all leases relate to leases for premises. The agreement with external lessors is spread over a large number of lessors, which is why the risk is deemed to be low. Only non-cancellable leases with an agreement period exceeding three years are reported. The leasing agreements for the city’s IT supplier are not included, as they do not meet the conditions, but constitute a large cost for the city. Sales The city’s sales income during the year amounted to SEK 3,221 million, which means a net profit for the city of SEK 2,552 million. The sales are largely related to development, SEK 2.5 billion. The largest objects are located in Hagastaden, Hjorthagen and Liljeholmen. Sales of properties in the Botkyrka municipality were completed during the year. Swedish Municipal Housing Companies Act The Swedish Municipal Housing Companies Act contains an opportunity for the city to

finance, via a special dividend, projects under the city’s housing dependents, within which measures to promote integration and social cohesion are implemented. During the years 2012–2014, the city received a post-dividend payment of SEK 3,020 million for the purpose. The dividend has been earmarked for projects in priority areas in the outer city. SEK 139.5 million were used during the year. The dividend has financed projects for housing in, for example, Rinkeby, Bromsten and Skärholmen, and the sports investments Solberga playing field and Gubbängens sports field. In total, 47 percent of earmarked funds have been used up. Liability and guarantees The City’s commitment to guarantees and contingent liabilities amounts to SEK 412 million which means a marginal change compared to 2017. The guarantee commitments relate to non-profit associations, both foundations or companies. The city has also secured a small number of pension commitments for the city’s majority-owned companies and for certain foundations. Most of these pension commitments have been hedged to S:t Erik Livförsäkring AB. The overall risk for the City’s guarantee commitment is deemed to be low.

PHOTO: LENNART JOHANSSON

Economic and Financial analysis

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101

Cash flow analysis The sum of the cash flow is positive and amounts to SEK 520 million. The city’s liquid assets are positive on the balance sheet date. The city tries to minimize the liquid assets due to the current interest rates. Cash flow varies according to assessed need for liquid assets. At the balance sheet date, the city had liquid assets of SEK 50 million. At the corresponding time last year, the overdraft facility had been utilized by SEK 476 million. Cash flow from operations consists of profit for the period excluding capital gains/losses and reversal of non-cash items in the form of depreciation, provisions and more. From the operations, cash flow amounted to SEK 3,054 million (SEK 3,050 million). The cash flow from the change in current receivables/liabilities and inventories is mainly due to changes in receivables/liabilities towards the city’s companies. The total change is negative, SEK -6,030 million, of which a higher net equity for the companies is SEK -8,358 million. In 2018, the companies had a significantly higher investment volume than before, which increased the need for borrowing. Increase in short-term loans and short-term liabilities counteracts the change. Cash flow from the city’s investment activities is negative, SEK -4,118 million, due to an increased investment volume of SEK 7.3 billion. Sales have kept the negative cash flow down, but less than last year. Payment of contributions to state infrastructure affects the flow by SEK -364 million.

Economic and Financial analysis

The city has increased its long-term liabilities to cover the borrowing requirement for the companies, net SEK 7,979 million. The city’s interest-bearing assets have decreased

by SEK 1.1 billion, depending on the city’s increased investment volume, which was not covered by earnings and depreciation during the year. Investments in the City The City’s investment expenditure in 2018 amounts to SEK 7,349 million (SEK 5,908 million), which is an increase of 24 percent compared with the previous year. Investment income for the year amounts to SEK 210 million (SEK 45 million). Net investment expenditures amounts to SEK 7,139 million (SEK 5,863 million), which is about one billion less than budgeted. Compared to previous years, however, the implementation rate of the city’s net investments increased from 78 percent to 87 percent.

In 2018, the city has invested in climate measures, shuttle routes for cyclists, sports halls and sports grounds.

The rebuilding of Slussen has been the city’s largest investment project in 2018. Major ongoing urban development projects are Hagastaden, Stockholm Royal Seaport, Årstafältet and Årstastråket. Renovation and development of Östermalmshallen, Medborgarhuset and Liljevalch’s art gallery are ongoing. The city has also invested in climate measures, shuttle routes for cyclists, sports centers and sports grounds. Of the year’s investments, SEK 4.3 billion comprises strategic investments, while SEK 2.8 billion consists of replacement investments, planned maintenance and minor investments. Machinery and equipment amount to SEK 0.2 billion. A displacement against a larger part of, replacement investments have taken place during the year mainly due to the rebuilding of Slussen. Slussen also affects which category of investments are most is invested in. In 2018, the largest investment has been made in infrastructure and then housing. The following table presents a number of

major projects with implementation decisions that have been going on during the year (net expenses, SEK million). The deviation of the investment expenditure compared to the budget is in many cases due to the time delay of the investment projects, whose implementation time extends over several calendar years. The outcome of the projects will be measured only in connection with closing and final reporting. In the event of a forecast deviation of more than 15 percent, a revised decision is required in accordance with the investment strategy. Transparency directive The Swedish Act on Transparency of Certain Financial Relations, etc. places certain demands on accounting in publicly owned companies, through requirements for open and separate accounting. The purpose of the Act is to implement EU Commission Directive 08/723/EEC in Swedish law (the Transparency Directive) to counteract unfair competition. The Act applies to publicly owned companies where the state, municipalities or county councils have a direct or indirect dominant influence through ownership, financial partici-

Project name

Applies to

Total budget

Total project forecas VB 2018

Hagastaden

Housing

10,400

9,613.0

4,670.2

607.5

486.0

Gasverket

Housing

961.1

870.8

351.8

91.1

102.3

-11.2

Årstastråket etapp 1

Housing

170.0

187.8

134.9

26.1

8.8

+17.3

Slussen

Infrastructure

9,900

10,045.8

3,387.1

1,251.9

1,426.9

-175.0

Gubbängens IP

Physical education

195.3

200.9

29.4

73.0

38.4

+34.6

Järvafältet utomhusbad

Physical education

310.0

331.3

21.3

60.0

60.4

-0.4

Hjorthagen 1.13

Physical education

115.0

115.4

44.1

54.0

59.4

-5.4

Bicycle Plan, expansion of commuter routes

Infrastructure

298.0

278.9

103.7

139.0

112.5

+26.5

Sergel Square, Waterproofing incl. Tram City

Infrastructure

1,488.0

1,111.5

960.8

473.0

135.7

+337.3

Kulturhuset

Culture

992.0

989.3

32.7

158.0

59.6

+98.4

Medborgarhuset

Culture

1,000.0

1,000.1

150.6

271.0

288.2

-17.2

Östermalmshallen

Commercial premises

980.0

1,200.7

519.7

232.0

299.9

-67.9

102

The City of Stockholm’s Annual Report 2018

Outcome up to and including 2017

Budget 2018

Results 2018

Deviation 2018

+121.6

PHOTO: LENNART JOHANSSON

pation or through the rules that apply to the company. Also economic or commercial activities that are run in administrative form can be covered by the term. Under the Act, publicly run companies with annual sales in excess of 40 million euros in each of the last two financial years shall apply the provisions of open reporting. The companies that are covered by the directive and the obligation to provide information are Stockholms Hamn AB, AB STOKAB and Stockholm Stads Parkering AB. The city manages borrowing for the city’s companies. All companies are offered borrowing and placement with terms corresponding to the municipality group’s external financing cost, with room for any expense compensation. No capital injections, amortization-free loans or loss grants are provided.

Economic and Financial analysis

Limited deductions for intra-Group interest The Swedish Parliament decided at the end of 2012 on further limits on deductions for intra-group interest rates in the primary purpose of preventing capital flight abroad with tax planning. The Swedish Tax Agency has applied the new regulations from 2014 and for the income years 2014–2015 taken one final review decision, which means that a limited part of the interest expense is considered to be deductible. The City of Stockholm and the Stockholms Stadshus AB Group has since the decision sought information on how the city’s companies should relate to the Tax Agency’s interpretations. The City of Stockholm and the Stockholms Stadshus AB Group believe that interest expenses should be assessed as fully deductible for the companies in the group concerned. Affected companies also asks for interest costs to be deductible in the tax returns relating to tax years 2014–2017. The City of Stockholm and the Stockholms stadshus AB Group has previously reserved costs for 2014–2017 for increased tax expenses as a result of the Swedish Tax Agency’s decision. Costs have also been reserved for the 2018 financial statements through an assessment of how the principle used by the Swedish Tax Agency affects the income in the year 2018. As regards the Swedish Tax Agency’s review decision for the income years 2014–2015, the City of Stockholm and the Stockholms Stads hus AB Group want to get a legal review of these and the decisions have therefore been appealed. Since the judgement of the Administrative Court in the summer of 2018 was in line with the Swedish Tax Agency’s decision, the company has appealed the decisions and the Administrative Court’s judgement to the Administrative Court of Appeal.

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103

PHOTO: ANNA ÅBERG

Financial statements

Financial statements 104

The City of Stockholm’s Annual Report 2018

Income Statement SEK million

The City Note

Municipal Group

31/12/2018

31/12/2017

2018 Budget

31/12/2018

31/12/2017

23,565.6

The activity’s income

12,297.6

12,103.4

8,159.3

24,203.0

Revenues affecting comparability

3,041.6

4,414.5

0.0

3,126.9

4,991.1

The activity’s expenses

-54,877.3

-52,947.0

-52,329.5

-61,101.6

-58,977.5

Costs that affects the comparability

-1,600.7

-3,477.3

0.0

-1,623.8

-3,613.5

Depreciation

-1,453.7

-1,322.3

-1,291.5

-5,222.4

-4,839.8

-42,592.5

-41,228.8

-45,461.7

-40,617.9

-38,874.1

Net operating costs Tax revenue

47,714.0

46,252.1

47,882.3

47,714.0

46,252.1

Government subsidies and financial equalization

-3,745.3

-3,534.5

-4,172.1

-3,745.3

-3,534.5

Profit from group companies

555.9

580.5

Financial income

2,450.5

1,598.0

2,501.6

136.8

94.5

Financial expense

-650.2

-725.7

-750.0

-607.3

-653.5

3,176.4

2,361.1

0.1

3,436.2

3,864.9

Profit after tax and financial result Tax

-303.7

-419.0

3,176.4

2,361.1

0.1

3,132.5

3,445.9

-563.1

-1,533.0

0.0

Year's result after balance receivables adjustments

2,613.3

828.1

0.1

Balance requirement result for the year

2,613.3

828.1

0.1

Profit/loss of the year Less revenues affecting comparability

Attributable to majority owners

3,127.2

3,427.4

Attributable to minority owners

5.3

18.5

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

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105

Balance Sheet SEK million

The City Note

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

70.3

86.3

70.3

86.3 137,330.4

Assets Intangible fixed assets Intangible fixed assets

Total Intangible fixed assets

86.3

Tangible fixed assets Land, buildings and technical equipment

55,061.5

52,010.6

143,057.4

Machinery and equipment

829.2

718.1

9,543.7

8,513.1

Ongoing new construction and renovation

21,787.2

20,055.6

43,315.0

36,416.8

77,677.8

72,784.4

195,916.0

182,260.3

Total tangible fixed assets Financial fixed assets Shares and share capital

4,265.6

4,031.4

3,057.4

2,822.3

Share of associated companies

6,095.7

5,939.9

Long-term receivables

16.9

17.6

80.0

58.6

4,282.5

4,049.0

9,233.1

8,820.8

81,960.3

76,833.4

205,219.3

191,167.5 1,629.0

Total financial fixed assets Total fixed assets Current assets Development properties

1,727.8

1,629.0

1,727.8

Inventories and work in progress

4.8

4.1

42.3

43.8

Short-term receivables

75,303.3

68,783.8

4,571.0

5,276.6

Short-term Investments

14.8

18.3

197.0

141.9

Cash in hand and bank accounts

50.0

5.8

59.1

137.9

77,100.7

70,441.0

6,597.1

7,229.1

159,061.0

147,274.4

211,816.4

198,396.6

3,176.4

2,361.1

3,132.5

3,445.9

0.0

Other equity

69,760.2

67,399.0

120,689.7

117,251.6

Total equity

72,936.6

69,760.2

123,822.2

120,697.6

6,620.6

6,066.3

Total current assets Total assets Equity and liabilities Equity

25, 26

Profit/loss for the year according to the income statement Profit equalization reserve

Provisions Pensions and similar obligations

Deferred tax liability Other provisions

Total provisions

8,740.7

8,114.5

1,488.3

1,537.0

11,643.8

11,579.8

11,841.3

11,821.2

18,264.5

17,646.1

22,070.3

21,472.7

70.5

65.2

Minority interest in equity Long-term liabilities Bonds

27,830.5

24,400.3

27,830.5

24,400.3

Promissory note loan

12,700.0

8,349.0

12,700.0

8,349.0

Other long-term liabilities

562.1

362.0

953.1

788.6

41,092.6

33,111.3

41,483.6

33,537.9 16,703.8

Total long-term liabilities Short-term liabilities Short-term liabilities

19,081.2

20,850.8

16,669.1

Short-term loans

7,686.3

5,906.0

7,700.7

5,919.4

Total short-term liabilities

26,767.4

26,756.8

24,369.8

22,623.2

Total equity and liabilities

159,061.0

147,274.4

211,816.4

198,396.6

Pledged assets

411.9

418.7

498.8

Pension liability incl. payroll tax

16,735.8

16,904.7

16,735.8

16,904.7

Derivatives; market value

-291.9

-387.7

-291.9

-387.7

Leasing operations leasing is paid

11,329.6

9136.3

4,207.5

4,465.1

23,439.1

18,059.3

Liabilities and guarantee commitments

Financial statements

Leasing operations leasing is obtained

Post-dividend 2012 § 5:1 public limited liability company

103.2

149.4

Post-dividend 2013 § 5:1 public limited liability company

1,234.2

1,327.4

Post-dividend 2014 § 5:1 public limited liability company

265.7

265.8

106

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

Cash flow analysis SEK million

The City Note

31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Operating activities 3,176.4

2,361.1

3,132.5

3,445.9

Repayment of capital gains/losses

Profit/loss of the year 39

-2,552.1

-4,163.4

-2,617.0

-4,603.9

Adjustment for non-liquidity items

2,507.1

4,856.1

5,713.1

7,671.5

Reduction of provisions due to payments

-77.7

-3.4

-77.7

-3.4

3,053.7

3,050.5

6,150.8

6,510.2

-6,516.0

-4,740.5

650.9

219.6

-0.7

5.4

1.6

-1.6

486.6

2,069.8

3,139.1

2,734.9

-2,976.4

385.1

9,942.4

9,463.0

-364.2

-155.8

-364.2

-155.8

0.0

-6.7

-23.8

0.0

Funds from operations before working capital changes Increase/decrease in short-term receivables

Increase/decrease storage and inventory Increase/decrease in short-term liabilities

Cash flow from operating activities Payment of contributions to the state infrastructure* Payment of contributions to the state infrastructure Investment activities Investment in intangible fixed assets

Sale of intangible fixed assets Investment in tangible fixed assets

-7,098.1

-5,855.7

-19,607.8

-16,079.7

Sale of tangible fixed assets

3,207.5

4,944.4

3,275.0

5,731.9

Investment in financial fixed assets

-240.7

-41.9

-240.7

-88.0

Sale of financial fixed assets

13.5

0.0

6.4

4.7

-4,117.8

-953.3

-16,573.8

-10,454.9

Other changes fixed assets Cash flow from investment activities Financing activities New loans

13,439.4

6,485.3

13,439.4

6,485.3

Amortization of long-term liabilities

-5,430.0

-3,082.7

-5,430.0

-3,082.7

-31.4

-2,315.6

-560.9

-1,883.9

0.8

7,978.7

1,087.8

7,449.3

1,519.5

Increase/decrease of long-term liabilities

Increase/decrease of long-term receivables Cash flow from financing activities Cash flow for the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of period

520.2

363.9

453.7

371.8

-470.2

-834.1

-394.6

-766.4

50.0

-470.2

59.1

-394.6

Interest-bearing net asset/liability

14,878.2

15,940.9

-38,426.2

-30,715.6

Interest-bearing net assets/liabilities at beginning of year

15,940.9

12,814.9

-30,715.6

-29,324.8

Interest-bearing net assets/liabilities at the end of period

14,878.2

15,940.9

-38,426.2

-30,715.6

* See note 41, contributions to national infrastructure is broken out from the decrease in the provision and reported separately.

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

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Accounting principles Local Government Accounting Act The financial statements have been prepared in accordance with the Local Government Accounting Act (SFS 1997:614) and the Council for Municipal Accounting Recommendations. Depreciation The city uses linear depreciation – an equal amount is written off every month during the period of use. As of 2018, linear depreciation is also used for additional investments. Up to and including 2017, the balance-adjusted depreciation was applied – the additional investment was written off at the same time as the original investment. The effect of the change in cost terms is expected to be marginal, so no adjustment has been made of the comparison period. Expensed facility – no depreciation is made – is used for example for land and art. Component depreciation is applied as of 2015. Component division is done when calculating and activating. There is no requirement for component classification during the construction period. Component division is based on natural components where replacement time and maintenance time are crucial for what should be counted as natural. When replacing components, the previous component is normally assumed to be finally written down and no disposal is done. Obvious exceptions to the rule are, for example, the exchange of a lift. If the replacement of the component is done after a time interval that deviates significantly from the useful life, disposal must be done. Once a year, zero-substituted, replaced components are disposed of. As a basis for assessing useful life times, the city has obtained guidance from the Council for Municipal Accounting (RKR) leaflet.

Financial statements

Valuation Principles Fixed assets have been accounted for at cost. The acquisition value includes expenses for dismantlement, removal of past asset and restoring the site if this is a prerequisite for the new asset. Assets, which have a useful life of at least three years and amount to at least one base amount, are counted as fixed assets. For investments in someone else’s property, if the property belongs to the municipal companies Skolfastigheter i Stockholm AB and Micasa Fastigheter i Stockholm AB, the investment expense should amount to at least SEK 0.5 million to be counted as investment. A decision on this exemption was taken by the City Council on November 3, 2008, and shall include smaller projects and construction activities. The exception is assessed in terms of amount to be negligible and therefore did not affect the accounts of any material extent. 108

The City of Stockholm’s Annual Report 2018

Activation Time of plant A plant is normally activated and starts to be written off when it is put into use. If not all expenses have been collected or been estimated with reasonable security, the activation date may be postponed for a maximum of six months. Current assets have been reported at the lower of cost and fair value on the balance sheet date. Intangible assets. The City of Stockholm reports till today no intangible assets. According to the City’s accounting rules for investments, restrictions should be observed when an asset is classified as intangible in order to avoid an overvaluation of the asset side. Until the end of the financial year 2018, no assets are deemed to meet the requirements for an intangible asset. Depreciation of assets Depreciation of assets is done in accordance with RKR 19. The city applies the limit that the value of an asset should amount to at least SEK 1 million in order to carry out an impairment test. Write-downs are made when the book value exceeds the recoverable amount by at least SEK 0.5 million and the change is considered durable, where permanently defined as at least five years. Leasing In accordance with the Council for Local Government Accounting recommendation no. 13.2, 2013 “Reporting of leasing/leasing agreements”, the City reports forthcoming costs for leasing agreements. Financial leasing is recognized in the balance sheet. A materiality assessment has been made and agreements have only been included where the total cost exceeds SEK 0.5 million or the annual cost exceeds SEK 0.2 million. Operational leasing is reported within the line with the same amount limits, as for financial leasing. According to the recommendation, accounting should take place if the lease term exceeds three years. The city’s IT services agreement is mentioned in the note on operational leasing, despite the fact that the time constraint is not met due to the fact that this financial commitment is extensive. Sale and purchase of fixed assets As a general rule, when selling and purchasing fixed assets, the transaction is recorded at the date of admission. Loan costs Loan costs are recognized in the period they relate to, and are not included in the purchase cost of assets.

Classification Short-term receivables and liabilities become due for payment within twelve months from the closing date. Long-term receivables and liabilities become due for payment after more than twelve months after the balance sheet date. Exceptions are investment income, which as a whole is reported as long-term liabilities, since investment income is not liquid. Exploitation properties, which are intended to be divested, are reported as current assets. Holiday pay, uncompensated overtime is debt performed according to the position on December 31, 2018. Finance operations Finance operations within the municipal group are based on the city’s finance policy, which is determined annually by the City Council. Foreign loans are valued according to principles for hedge accounting. The city uses currency futures and/or interest rate and currency swaps to hedge positions regarding price and interest rate changes. Purchase or sale of financial assets or liabilities are recognized on the settlement date. Financial assets and current liabilities are valued at purchase cost. Any issue expenses and similar transaction expenses are allocated according to the linear method. Regarding overdrafts and discounts on bonds, also amounts of less than SEK 1 million are periodized. Items affecting comparability Gains and losses and items of a non- recurring nature, which do not belong to the normal business, are reported as items affecting comparability. This includes exploitation income and expenses that are grossly reported in accordance with current regulations, book value as cost and sales income as revenue. According to a decision by the City Council in 2017, a mortgage has been made of equity for various measures. The city has chosen to report the above items as a disturbance in comparison if they amount to at least SEK 0.1 million. Provisions In addition to the provision for the pension liability, the city makes provisions for the effects of major reorganizations, when this is the case, the commitments in the infrastructure area and more. At provisions apply direct result of life. The items are reported as affecting comparability. Pension liabilities The City’s pension liability is reported partly as a provision in the balance sheet and partly

as a contingent liability. Pensions earned up to and including 1997 are reported as a contingent liability. The City’s personnel’s individually earned pension rights during the year are reported in the balance sheet as an accrued cost. The pension liability is adjusted with non-insured commitments, which have small scale. Commitments regarding deferred survivor’s pension are included in debt and contingent liability. The calculation of the pension liability is made in accordance with Guidelines for calculating pension liabilities (RIPS 17). The basis for the calculations is the pension agreement KAP-KL. The agreement AKAP-KL is entirely fee-based and does not affect the pension.

purpose of the consolidated accounts, which is the municipal equivalent of group consolidated accounts, is to provide an overall picture of the City’s committees, limited companies and municipal associations’ operations and financial position.

consolidated accounts. All internal balances and internal profits and losses of significance are eliminated. The subsidiary S:t Erik Livförsäkring AB, which is part of the Group Stockholms Stadshus AB, reports financial instruments at fair value. No adjustment of this takes place in the consolidated accounts as the values are not of significant importance.

The consolidated financial statements have been prepared in accordance with RKR 8.2 Consolidated accounts. The city councils have been proportionally consolidated with the city’s direct and indirect wholly and jointly owned companies, where the city has at least a significant influence.

The consolidated accounts have mainly been prepared in accordance with the acquisition method, which means that only owned shares of the companies’ accounting items are consolidated and that the book values of participations in the Group companies are eliminated against the acquired share of the subsidiaries’ equity. Thus, the consolidated accounts comprise only the part of the subsidiaries’ equity that has been added after the acquisition. However, the jointly owned company AB Stockholm Exergi is consolidated with the equity method. Deviation from using proportional consolidation method regarding AB Stockholm Exergi is done as it is judged to provide a more accurate picture of the holding because the city does not have the decisive influence and the business of the jointly owned company is of a commercial nature.

Differences in accounting principles between the companies and the city may occur due to the fact that different legislation and recommendations are applied for the city and the companies, respectively. In the consolidated accounts, effects of significance are due to the fact that differences between accounting principles for companies and the city are adjusted based on municipal accounting principles.

Receivables from/payables to Group companies The city manages borrowing and lending to the municipal companies. The companies have an account in the city’s corporate structure with a few exceptions. Depending on the balance reported claim or debt to the respective companies. Two companies have their debt against Stockholms Stadshus AB instead of directly against the city.

A consolidated report is made in connection with the interim report 2 and the annual accounts.

Consolidated accounts General information. According to the Act on Municipal Accounting, Stockholm City’s annual and interim financial statements shall also include activities conducted by other legal entities within the municipal group and consolidated accounts shall be prepared. The

Consolidated accounting consolidation principles Most of the city’s companies are gathered in the Stockholm Stadshus AB, which is wholly owned by the city. The financial statements for the Stockholms Stadshus AB Group are used as a basis for consolidating the

The same method has until 2016 been used also for Mässfastigheter i Stockholm AB Nynäshamn mark AB and SYVAB – Sydvästra Stockholmsregionens VA-verksamhet AB. From 2017, these companies will be consolidated proportionally.

The application of certain accounting principles in the City of Stockholm Investment income The Council for Municipal Accounting Recommendation 18, Revenue from fees, grants and sales has been applied since 2010. Boat owners are charged annually a fee for maintenance of berths. As maintenance, since the introduction of component depreciation, is recorded as an investment, paid contributions are reported to cover maintenance, as an investment income. Financial statements

Development properties Development properties, which are intended to be sold, are reported as current assets in all financial statements. Capitalized assets are only intended to be sold in exceptional cases. Affected are ongoing new and rebuilding actvities, which are not activated. The part of these accrued facilities, which is intended to be sold, is recorded as current assets at the end of the financial year. In the case of sales, the book value is reported as cost and the purchase price as revenue.

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Definitions of financial statements ff Fixed

assets are assets that are intended for permanent use in the business. They may be intangible (eg goodwill), tangible (eg buildings) or financial (eg shares). ff Planned depreciation is the distributed total cost of a fixed asset’s parts. The cost is distributed over the number of years that the asset is used in the business. On assets such as land and art, no depreciation is made. ff Provisions are obligations that relate to the financial year or the previous financial year and as at the balance sheet date are certain or likely to be incurred but uncertain as regards the amount or the date on which they shall be settled. ff The balance requirement is linked to the income statement. Under the Local Government Act, the budget must be established so that income exceeds expenses (KL 8 Ch. 4 §). If the reported result is negative, that is, if the costs for a particular financial year exceed the revenues, the negative result shall be settled no later than in the third year after the negative results were reported. The main principle is that

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capital gains should not be included in the income when reconciliation with the balance requirement is made. Exceptions can, however, be made if it is in agreement with good financial management, for example if the sale is part of a restructuring. ff The balance sheet (BS) is a compilation of assets, equity, provisions and liabilities on the balance sheet date, ie the last day of the accounting period. ff Certificate can be issued by, for example, municipalities or businesses. Loans can be raised through the issue of promissory notes with maturities up to one year. ff Equity is the difference between assets and liabilities. It shows the percentage of assets that are not financed by loans. ff Elimination means that internal items are removed, so that data on revenues, expenses, assets and liabilities only includes external items for the city. ff Euro Commercial Paper (ECP) are commercial papers with maturities of up to one year and can be issued in several different currencies.

ff Medium-term

note (EMTN) are promissory notes in the form of bonds, with a maturity of over one year. These bonds can be issued in several different currencies. ff Obligation – an obligation arising from contract, legislation or other legal basis. ff The cash flow statement shows incoming and outgoing payments for the city’s various activities. The sum of incoming and outgoing payments represent the year’s total cash flow. ff Financial net is the difference between financial income and financial expenses in the income statement. ff Medium Term Note (MTN) are loans raised through the issue of promissory notes in the form of bonds with maturities of at least one year. ff Current assets are assets that are not held for permanent use, but used in conjunction with the production of products or services or otherwise used in operations. ff The income statement (IS) is a compilation of income and expense that results in a result for a given period.

Notes to the income statement INTERNAL ITEMS ARE ELIMINATED

NOTE 1 Operating income SEK million

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

Tariffs, fees, etc.

5,040.3

4,674.3

9,556.4

9,079.4

Rents, ground rent

4,165.6

4,099.2

11,339.3

11,102.2

Government grants

3,039.5

3,292.1

3,255.1

3,346.3

52.2

37,8

52.2

37.8

12,297.6

12,103.4

24,203.0

23,565.6

Grant from the European Union Total business revenue

NOTE 2 Income affecting comparability SEK million

Capital gains on sales

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

551.9

1,533.0

637.2

2,109.7

Sale of development properties*

2,489.7

2,881.4

2,489.7

2,881.4

Total revenues affecting comparability

3 041.6

4 414.5

3 126.9

4 991.1

* The sale of development properties are reported gross value.

NOTE 3 Operating costs SEK million

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

Materials and purchased services etc.

-9,071.3

-8,872.7

-12,491.2

-12,682.7

Housing supplements, social benefits and other support

-2,314.3

-2,277.6

-2,314.3

-2,277.6

-947.3

-930.7

-947.3

-930.7

Contracts and purchase of operations

-19,135.6

-18,899.1

-19,386.4

-18,758.9

Wages*

whereof supply support/social assistance

-16,536.3

-15,616.7

-18,206.8

-17,084.9

Employer fees and contract insurance

-5,137.5

-4,858.3

-5,678.6

-5,329.0

Pension costs**

-2,576.7

-2,304.4

-2,853.0

-2,480.9

whereof payment of pensions

-933.8

-895.5

-933.8

-895.5

whereof pension contributions

-806.6

-739.1

-806.6

-739.1

-0.1

-0.2

-0.1

-0.2

whereof special payroll tax

-428.3

-386.1

-481.2

-386.1

whereof changes in pension obligations incl. payroll tax

-407.5

-283.5

-407.5

-283.5

Other personnel expenses***

-105.8

-118.1

-171.3

-363.5

-54,877.3

-52,947.0

-61,101.6

-58,977.5

whereof occupational pension insurance contributions

Total operating expenses

* Hourly wages, remuneration uncomfortable working hours, overtime including employer contributions are accrued. ** Interest and base amount adjustment of the pension liability including payroll tax is reported under financial expenses. *** Of which +SEK 305 million in 2018, + SEK 283 million in 2017 enabled own work.

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

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111

NOTE 4 Costs that affects the comparability SEK million

Book value sales development assets*

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

-500.5

-251.0

-500.7

-251.0

-0.2

0.0

-23.1

-136.2

-439.3

-3,019.5

-439.3

-3,019.5

IT-costs***

-572.8

-182.8

-572.8

-182.8

whereof school platform

-219.3

-22.0

-219.3

-22.0

0.0

-12.2

-30.8

-59.8

-30.8

-59.8

Capital losses from sales Provision made for infrastructure and funeral services etc.** Applying quotations according to the 2017 financial statements

whereof purchasing of a new financial system whereof digital innovation and e-services whereof eDok project

-12.2

-68.4

-50.7

-68.4

-50.7

-163.2

-38.2

-163.2

-38.2

whereof modernization of social systems

-46.4

0.0

-46.4

0.0

whereof Smart City

-30.9

0.0

-30.9

0.0

whereof other IT investments

-13.9

0.0

-13.9

0.0

Social investments

-41.6

-10.6

-41.6

-10.6

Skills development initiative

-46.3

-13.4

-46.3

-13.4

-1,600.7

-3,477.3

-1,623.8

-3,613.5

whereof GS-IT

Total costs that affect the comparability

* The sale of development properties are reported gross value. ** Funeral services SEK 36.0 million; Slussenbus terminal 198.3; Tvärbana Norr SEK 40.0 million; Other SEK 165.0 million. CPI enumerations, SEK 66.7 million, are recognized as a financial cost affecting comparability. *** In the financial statements 2017, it was decided that notes relating to IT investments would amount to SEK 1,830 million for the period 2018–2020.

NOTE 5 Depreciation* SEK million

Depreciation rental apartments intangible assets (20–33 percent) Depreciation buildings technical equipment (1.4–33.3 percent) Depreciation machinery equipment (2–33 percent)

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

0.0

-26.2

-22.4

-1,228.9

-1,103.1

-4,447.7

-4,135.0

-219.6

-201.3

-745.3

-669.6

-1,448.5

-1,304.4

-5,219.1

-4,827.0

Write-downs

0.0

-0.1

0.0

-1.8

Reservation for future write-down requirements

0.0

Reversal write-downs

0.0

5.0

8.8

Total planned depreciation

Disposals Total depreciation

-5.2

-17.9

-8.3

-19.8

-1,453.7

-1,322.3

-5,222.4

-4,839.8

* Component depreciation has been carried out for all plants.

NOTE 6 Tax revenue SEK million

Preliminary year tax revenue

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

46,190.5

47,705.0

46,190.5

47,705.0

Correction forecasted final settlement 2016/2015

2.4

4.9

2.4

4.9

Correction forecasted final settlement 2017/2016

-137.4

48.9

-137.4

48.9

Forecasted final settlement 2018/2017

-57.9

-190.6

-57.9

-190.6

Funeral Fees

201.9

198.3

201.9

198.3

47,714.0

46,252.1

47,714.0

46,252.1

Total tax revenues

Financial statements 112

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

NOTE 7 General city grants and equalization SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Introduction Contributions

0.0

76.6

0.0

Adjustment Contributions

149.3

0.0

149.3

0.0

General government grants

425.5

442.7

425.5

442.7

whereof construction bonus

76.6

117.3

187.9

117.3

187.9

Municipal property tax

1,176.9

1,157.5

1,176.9

1,157.5

Total Government grants and financial equalization

1,751.7

1,676.9

1,751.7

1,676.9

-3,767.2

-3,606.1

-3,767.2

-3,606.1

0.0

-9.1

0.0

-9.1

-461.3

-389.7

-461.3

-389.7

Charges in the equalization system Income equalization fee Regulatory fee Cost equalization fee Fee for LSS equalization

-1,268.5

-1,206.4

-1,268.5

-1,206.4

Total fees in the equalization system

-5,497.0

-5,211.3

-5,497.0

-5,211.3

Total Government grants and financial equalization

-3,745.3

-3,534.5

-3,745.3

-3,534.5

NOTE 8 Profit from shares in associated companies SEK million

Municipal Group 31/12/2018

31/12/2017

The Municipal group includes earnings from participations in the associated company as follows: Stockholm Exergi Holding AB

555.9

580.5

Total result from participations in associated companies

555.9

580.5

As Stockholm Exergi Holding AB represents a large value in equity, the company’s income statement is presented in abbreviated form below* Income Statement Stockholm Exergy Holding AB

Other Income/expenses Financial income Financial expenses Taxes Minority interests in net profit Profit/loss of the year

31/12/2017

7,119.3

6,749.1

-5,813.5

-5,106.2

1.0

0.8

-161.1

-152.4

-33.7

-329.0

-0.3

-1.2

1,111.7

1,161.1

* The income statement above is prepared in accordance with the K3 regulations, while the official report presented by the company is prepared in accordance with IFRS.

NOTE 9 Financial Income SEK million

Interest rates

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

731.6

792.5

103.3

7.7

5.5

30.9

5.7

Dividend

1,700.0

800.0

0.0

whereof Stockholm Stadshus AB

1,700.0

800.0

11.2

0.0

2.7

0.0

2,450.5

1,598.0

136.8

94.5

Other financial income*

Financial income affecting comparability; Sale Stockholm Terminal AB Total financial income

31/12/2018

88.8

* The item financial income includes guarantee income from municipal housing companies.

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

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113

NOTE 10 Finansiella kostnader SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Interest rates, cash equivalents and investments*

-396.4

-458.3

-344.4

-388.3

Interest rate pension obligations change

-146.8

-139.8

-146.8

-139.8

Other financial expenses

-40.3

-30.6

-49.3

-28.4

Comparability-affecting financial expense**

-66.7

-97.0

-66.7

-97.0

-650.2

-725.7

-607.3

-653.5

Total financial expenses Average interest* Average interest rate external debt portfolio with derivatives (%)

0.76

0.97

0.76

0.97

Average interest rate external debt portfolio without derivatives (%)

0.72

0.80

0.72

0.80

Average fixed interest period external debt portfolio with derivatives, year

1.9

2.0

1.9

2.0

Average fixed interest period external debt portfolio without derivatives, year

1.5

1.6

1.5

1.6

Average fixed interest period

* Interest expenses are reported including the net of interest rate and currency swaps, in accordance with RKR21. See also note 36 Derivative instruments. The yearâ&#x20AC;&#x2122;s interest expense for the external debt portfolio is SEK 395.9 million including derivatives and SEK 391.8 million excluding derivatives. ** Index regulation 2018 The Swedish negotiation agreement SEK 47.6 million, bus terminal Slussen SEK 19.1 million.

NOTE 11 Taxes

The City

SEK million

Municipal Group

31/12/2018

31/12/2017

Current tax

-271.3

Deferred tax

29.2

-77.6

Tax attributable to interest deduction limitation

-61.6

-65.5

Total tax

-303.7

-419.0

NOTE 12 Income affecting comparability, deducted in the balance requirements investigation SEK million

-275.9

The City 31/12/2018

31/12/2017

Capital gains

-563.1

-1,533.0

Total deducted income affecting comparability

-563.1

-1,533.0

Financial statements 114

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

Notes to the balance sheet INTERNAL ITEMS ARE ELIMINATED In the City’s balance sheet, receivables and liabilities against the City’s own companies are reported at gross value.

NOTE 13 Intangible fixed assets SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Opening intangible fixed assets 1/1

263.0

239.4

This year’s new investments

8.5

14.9

Sales

0.0

Reclassification

2.5

8.9

Disposals

-41.6

-0.2

Total cost of intangible fixed assets

232.4

263.0

Opening Depreciation 1/1

-175.6

-153.4

Depreciation for the year

-26.2

-22.4

Reclassification

40.6

0.0

Disposals

0.0

0.2

Total depreciation, intangible fixed assets

-161.1

-175.6

Opening Writedowns 1/1

-1.1

Writedowns of the year

0.0

Total closing depreciation

-1.1

Total Intangible fixed assets

Depreciation periods

NOTE 14 Land, buildings and technical facilities SEK million

The City

70.3

86.3

3–10 years

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

Opening acquisition value of land, buildings and technical facilities 1/1 Acquisitions for the year Sales for the year Year-end disposal purchase value Reclassification This year’s reversal to current assets/reclassification This year’s expensed investments Correction acquisition value attributable sale previous years

61,928.5 4,514.1 -177.9 -46.7 3.2 -69.1 0.0 0.0

58,402.0 4,167.6 -583.7 -45.9 -11.5 0.0 0.0 0.0

180,560.2 4 516.9 -231.7 -124.7 5 873.3 -69.1 0.0 -57.7

178,322.6 3,795.5 -1,068.7 -250.3 -286.1 0.0 0.0 47.2

Total closing acquisition value

66,152.1

61,928.5

190,467.2

180,560.2

Opening depreciation Total planned depreciation for the year Acquired accumulated depreciation for the year Depreciation for the year sale Depreciation for the year disposals Reclassification

-9,917.9 -1,228.9 0.0 12.2 41.8 2.2

-8,883.7 -1,103.1 0.0 54.2 28.5 -13.8

-43,208.9 -4,440.6 0.0 91.4 98.2 72.2

-41,718.5 -4,122.5 0.0 244.6 171.8 2,215.6

Total closing depreciation

-9,917.9

-47,387.7

-43,208.9

0.0 0.0 0.0 0.0

1,372.8 0.0 -7.0 0.0

1,945.3 0.0 -7.0 -565.5

Total closing up-writes

0.0

1,365.8

1,372.8

Opening depreciation Write-downs for the year Sales for the year write-downs The year’s reversed write-downs Reclassification

0.0 0.0 0.0 0.0 0.0

-1,393.7 0.0 0.0 5.0 0.9

-7,796.6 -0.5 21.7 8.8 6,372.9

Total closing depreciation

0.0

-1,387.8

-1,393.7

Total land, buildings and technical facilities Depreciation periods

55,061.5

52,010.6

143,057.4

137,330.4

3–70 years

Investment; A base amount, useful life of three years or more. RKR 19 for depreciations is applied. Component Division and component depreciation are applied regarding the City’s fixed assets.

Note: The amounts in the table are rounded and totals are thus not exact.

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115

Financial statements

-11,090.7

Opening revaluation Up-writes for the year Depreciation up-write amount for the year Reclassification

NOTE 15 Machinery and equipment SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Opening Machinery and equipment 1/1* This year’s new investments Sales for the year acquisition value Year-end disposal purchase value Reclassification of the year Capitalized leases

1,765.4 324.2 -2.6 -61.7 9.2 0.0

1,670.0 238.5 -6.2 -119.1 -17.9 0.0

16,247.1 403.8 -19.5 -168.2 1,329.4 46.4

14,723.7 318.9 -21.3 -344.6 1,510.1 60.4

Total closing cost of machinery and equipment

2,034.5

1,765.4

17,839.0

16,247.1

Opening depreciation Total planned depreciation for the period Depreciation period sales Depreciation period disposals Reclassification

-1,047.2 -219.6 2.3 61.4 -2.2

-984.0 -201.3 5.8 118.6 13.8

-7,731.7 -745.3 25.1 156.7 2.1

-6,617.1 -675.1 20.4 316.1 -776.0

Total closing depreciation

-1,205.3

-1,047.2

-8,293.1

-7,731.7

Opening up-writes Up-writes for the period

0.0 0.1

0.0 0.0

Total closing up-writes

0.1

0.0

Opening depreciation Depreciation for the period Disposals Reclassification Reversed depreciations

0.0 0.0 0.0 0.0 0.0

0.0 -0.1 0.0 0.0 0.0

-2.3 0.0 0.0 0.0 0.0

-85.6 -1.3 0.0 84.6 0.0

Total closing depreciation

0.0

-0.1

-2.3

Total machinery and equipment* Depreciation period (straight line depreciation)

829.2

718.1

9,543.7

8,513.1

3–20 years

Investment; A base amount, useful life of three years or more. * Finance leases are included in the balance for machinery and equipment, the City has no financial leases currently see note 37 for specification.

NOTE 16 Ongoing new construction, and renovations SEK million

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

Opening ongoing new construction and renovation, 1/1 This year’s new investments Sales Expensed investments Reclassification development properties for sale Reclassification from/to land, buildings and technical facilities

20,055.6 1,830.3 0.0 0.0 -98.8 0.0

18,566.9 1,247.7 0.0 0.0 241.0 0.0

37,474.4 14,369.4 0.0 -165.8 -98.8 -7,206.6

34,088.6 11,905.5 0.0 -167.9 241.0 -8,592.8

Total outgoing acquisition in connection with new construction, renovation and reconstr.

21,787.2

20,055.6

44,372.6

37,474.4

Opening Writedowns 1/1 Writedowns of the year

0.0 0.0

-1,057.6 0.0

Total closing depreciation

0.0

-1,057.6

21,787.2

20,055.6

43,315.0

36,416.8

Opening ongoing new construction and renovation Investment; A base amount, useful life of 3 years or more.

NOTE 17 Shares and participations SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Financial statements

Opening shares and participations 1/1 Purchases of condominiums Purchase of stocks, shares and securities Sales of condominiums Reclassification of condominiums Sale of stocks, shares and securities*

4,031.4 240.7 0.0 0.0 -4.2 -2.3

3,989.5 41.9 0.0 0.0 0.0 0.0

2,822.3 240.7 0.0 0.0 -4.2 -1.4

2,734.3 41.9 46.5 -0.4 0.0 0.0

Total stocks and shares

4,265.6

4,031.4

3,057.4

2,822.3

116

* Sales city shareholdings Stockholm Terminal AB.

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

The City shares in municipal companies etc. at 31/12/2018 Company

Stockholm Stadshus AB

Share capital (thousand SEK)

Ownership (%)

Book value (thousand SEK) 31/12/2018

2,850,001.0

100.0

Kaplansbacken AB

500.0

100.0

514.0

Svenska Teknologföreningens Fastighets AB

562.0

100.0

562.0

0.0

Stockholm Terminal AB* Total shares in subsidiaries/group companies

3,484,382.0

0.0 3,485,458.0

Shares in other companies SÖRAB

12,000.0

5.0

400.0

Inera AB

42.5

AB Servi data (deposit certificate)

0.1

Total Shares in other companies

442.6

Shares municipal associations Stockholm region fire defense

27,831.4

Total shares municipal associations

27,831.4

Shares condominiums

751,916.3

Total shares condominiums

751,916.3

Total amount of shares and participations city

4,265,648.3

* The shareholding in Stockholm Terminal AB were sold during the period.

NOTE 18 Equity share of associated companies

Municipal Group

SEK million

31/12/2018

Opening acquisition value

5,939.9

Profit for the year Dividends

31/12/2017

5,558.9

555.9

580.5

-400.0

-200.0

Correction attributable to previous years

0.0

Other

-0.1

0.5

6,095.7

5,939.9

Closing net value Associated companies

Reg. number:

Registered office

Capital share

Sydvästra Stockholmsregionens VA-verks AB, SYVAB

556050-5728

Stockholm

33.0%

Nynäshamns Mark AB

556314-3113

Stockholm

50.0%

Mässfastigheter i Stockholm AB

556094-5627

Stockholm

50.4%

Stockholm Exergi Holding AB

556040-6034

Stockholm

50.0%

As Exergy Stockholm Holding AB is a great capital share the company’s balance sheet is presented in abbreviated form below.* Balance Sheet Stockholm Exergy Holding AB

Intangible fixed assets Tangible fixed assets Financial fixed assets

31/12/2017

80.1

39.2

26,304.0

25,926.7

6.2

8.8

3,054.7

2,580.9

Total assets

29,445.0

28,555.6

Shareholders’ equity including minority interest

12,652.6

12,340.6

Current assets

Provisions

3,412.4

157.9

10,551.3

Short-term debt

13,308.6

2,251.3

Total equity, provisions and liabilities

29,445.0

28,555.6

Financial statements

3,325.9

Long-term liabilities

31/12/2018

* Balance sheet above is prepared in accordance with the K3 regulations, while the official report presented by the company is prepared in accordance with IFRSw.

Note: The amounts in the table are rounded and totals are thus not exact.

The City of Stockholm’s Annual Report 2018

117

NOTE 19 Long-term receivables* SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Opening long-term receivables 1/1

17.6

18.4

58.6

52.7

Amortizations

-0.8

0.0

22.2

6.6

16.9

17.6

80.0

58.6

16.9

17.6

58.6

52.7

21.4

5.9

16.9

17.6

80.0

58.6

Changes in other Long-term receivables Total long-term receivables Composition long-term receivables Borrowers, others Other Total long-term receivables Summa långfristiga fordringar

* Receivables which on the balance sheet date have a due date that occurs within one year have been transferred to short-term loans.

NOTE 20 Development properties SEK million

Initial development properties

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

1,629.0

1,878.5

1,629.0

429.5

201.9

429.5

201.9

-500.6

-251.0

-500.6

-251.0

New acquisition Sales development properties

1,878.5

Reclassification land, buildings and technical facilities

71.1

40.6

71.1

40.6

Reclassification in progress

98.8

-241.0

98.8

-241.0

1,727.8

1,629.0

1,727.8

1,629.0

Total development properties

NOTE 21 Inventories and work in progress SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Inventories

4.5

3.7

37.4

39.7

Work in progress

0.2

0.4

4.9

4.2

Total inventories and work in progress

4.8

4.1

42.3

43.8

Storage is valued at the lower of cost of acquisition value and fair value.

NOTE 22 Short-term receivables – other SEK million

The City 31/12/2018

Tax receivables Sales tax receivables Government grants receivables Short-term receivables the City’s group companies*

Total short-term receivables – others

31/12/2018

31/12/2017

0.0

0.6

0.2

812.5

662.6

984.4

796.6 534.2

386.0

534.2

386.0

64,218.1

33.2

28.9

284.5

302.4

1,907.9

2,307.5

1,355.9

2,029.1

846.8

1,032.5

1,559.6

1,614.0

75 303,3

68 783,8

4 571,0

5 276,6

Receivables from customers

31/12/2017

71,317.0

Other short-term receivables Prepaid expenses and accrued income

Municipal Group

* The city administers funding for municipal companies. The companies borrow as needed by the City.

Financial statements 118

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

NOTE 23 Short-term investments SEK million

Skills account

31/12/2017

31/12/2018

31/12/2017

14.0

17.5

14.0

0.8

Other short-term investments.

0.0

182.2

123.6

17.5

14.8

18.3

197.0

141.9

* Long-term receivables which on the balance sheet date have a due date that occurs within one year have been transferred to short-term loans.

NOTE 24 Cash and cash equivalents SEK million

Prepayments etc

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

6.9

5.8

6.9

5.8

Cash and cash equivalents (Bank etc)

43.2

0.0

52.2

132.1

Total cash and cash equivalents

50.0

5.8

59.1

137.9

NOTE 25 Equity SEK million

Opening Equity 1/1

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

117,270.1

69,760.2

67,399.0

120,697.6

of which allocation in 2017 year change/Previous year*

-660.7

-206.8

Change of equity according to the income statement

3,176.4

2,361.1

3,132.5

3,445.9

Change in equity not gone through IS Total equity

31/12/2018

Municipal Group

Current portion of long-term debt* Total short-term investments

The City

0.0

-7.9

-18.5

72,936.6

69,760.2

123,822.2

120,697.6

* See note 26, 31/12/2018

NOTE 26 Total allocation equity* SEK million

IT-costs

The City OB2018*

1,830.0

So far deducted

0.0

whereof school platform

31/12/2018

-572.8

CB 31/12/2018

1,257.2

-219.3

whereof digital innovation and e-services

-30.8

whereof GS-IT

-163.2

whereof eDok project

-68.4

whereof modernization of social systems

-46.4

whereof Smart City

-30.9

whereof other IT investments

-13.9

Social investments

(OB2014**) 300.0

-10.6

-41.6

247.8

Focus on Competence development

(OB2014**) 200.0

-13.4

-46.3

140.3

-16.1

-46.3

137.6

-26.7

-660.7

1,642.7

Less expended appropriations funded**

-2.7

Remaining means of competence development Total residual provision***

2,330.0

-2.7

* According to a decision in the 2017 activity report, the remaining note 2017 was increased by SEK 457.2 million for IT investments to SEK 1,830.0 million. ** Original notes on social investments and competence development initiatives made in 2014. *** OB together with the column departs so far, show the total opening mortgage in equity 01/01/2018.

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

The City of Stockholm’s Annual Report 2018

119

NOTE 27 Pension and similar obligations SEK million

Opening allocated pensions 1/1

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

6,066.3

5,643.0

8,114.5

Newly earned o debt change employees

274.8

200.4

438.5

7,694.7 233.1

Newly earned o debt change retired

282.6

243.0

282.6

243.0

Interest and base amount counting

118.1

104.5

118.1

158.6

Pension payments during the year

-229.5

-207.2

-318.0

-194.8

108.2

82.6

108.2

82.6

-3.2

-102.7

whereof changes in liability defined manager pension

9.1

-17.9

9.1

-17.9

whereof retired debt change*

0.0

-43.8

38.7

-43.8

38.7

Change in payroll tax Warranty and negotiated pension costs

including changes in liability elected officials, temporary and old-age pensions, severance pay whereof change in Skafab debt

-0.6

0.1

-0.6

0.1

6,620.6

6,066.3

8,740.7

8,114.5

whereof defined manager pension

106.0

154.3

107.7

154.5

whereof allocated to pensions special decisions including special payroll tax

288.4

222.8

Total provisions for pensions

whereof pension benefits elected officials including payroll tax*

248.1

302.6

248.1

302.6

81.0%

81.4%

81.0%

81.4%

Number of fixed-term appointed officials; The city’s fixed-term officials all have a permanent employment at the bottom, which is why the City’s pension commitment does not change due to the fixed-term appointment.

0.0

The debt has been reduced by off- insured through occupational pension insurance, comprising administration managers, etc. with special agreements (SEK million)

0.0

0.2

Degree of actualization in percent

* Elected representatives are included in the balance sheet. ** The debt also includes commitments for latent survivor’s pension.

Financial statements 120

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

NOTE 28 Other provisions SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Funeral Fees* Opening balance 1/1 Utilized Provision for the year Closing balance

147.4

96.6

147.4

0.0

96.6 0.0

36.0

50.8

36.0

50.8

183.4

147.4

183.4

147.4

1,339.6

1,256.2

1,339.6

1,256.2

0.0

-77.7

-3.4

-77.7

-3.4

Stockholms ström etc** Opening balance 1/1 Transferred from liabilities Utilized Provision for the year

165.0

86.8

165.0

86.8

1,426.9

1,339.6

1,426.9

1,339.6

10,092.8

7,269.6

10,092.8

7,269.6

-364.2

-155.8

-364.2

-155.8

305.0

2,979.0

305.0

2,979.0

10,033.6

10,092.8

10,033.6

10,092.8

Balance 1/1

0.0

241.5

123.5

Utilized

0.0

-44.7

-3.3

Provision for the year

0.0

0.7

121.2

Closing balance

0.0

197.5

241.5

11,579.8

8,622.4

11,821.2

8,745.9

-442.0

-159.2

-486.7

-162.5

506.1

3,116.5

506.8

3,237.8

11,643.8

11,579.8

11,841.3

11,821.2

Closing balance Infrastructural contributions*** Opening balance 1/1 Utilized Provision for the year**** Closing balance Other provisions companies

Total opening balance Total Utilized Total provisions for the year Total closing balance

* Activities funded by funeral fees, the individual can years provide a surplus or deficit. This is regulated to a provision, so that over time the fees always are used to the intended purpose. ** The provision for Stockholms Ström etc. is expected to be paid SEK 36.5 million in 2019, SEK 328 million in 2023, SEK 244 million in 2024 and other SEK 819 million from 2025 onwards. The provision is in 2016 transferred from long-term liabilities. *** The provision bus terminal Slussen has been increased by SEK 198.3 million, Index regulation Sweden negotiation SEK 47.6 million and index control Bus terminal Slussen SEK 19.1 million. Provision Tvärbanan Norr Kistagrenen has been expanded with SEK 40 million. Other provisions for the Swedish Negotiation, Norra länken, Citybanan, crossroads, subway construction, other rail connections, Slussen bus terminal and National City Park etc. There is uncertainty about amounts. The city applies direct profit recognition of decisions on contributions to state infrastructure. The amounts are indexed. For infrastructure measures, SEK 367 million is paid in 2019, SEK 633 million in 2020, SEK 1,413 million in 2021 and SEK 984 million in 2022, SEK 773 million in 2023, SEK 480 million in 2024 and SEK 5.4 billion after year 2024. **** 2018 refers to indexation of provisions made and cost of bus terminal Slussen and Tvärbana Norr. The timing of the start of the Swedish negotiation and the pace of other projects is uncertain, which also leads to uncertainty about amounts. Since these are large infrastructure projects, it is difficult to assess factors which may arise and thereby change the expenditure picture, but with factors known at the end of the financial year, the provision is deemed to cover the commitments made.

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

The City of Stockholm’s Annual Report 2018

121

NOTE 29 Bonds SEK million

Initial bond debt New loans Accrual of premiums and discounts Return of book over/discount Reversal of prior year’s reclassification

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

24,400.3

24,965.5

24,400.3

24,965.5

9,088.4

3,985.3

9,088.4

3,985.3

-31.6

-28.0

-31.6

-28.0

0.0

7.5

0.0

7.5

4,530.0

2,852.5

4,530.0

2,852.5

Amortizations

-4,530.0

-2,852.5

-4,530.0

-2,852.5

Current portion of long-term loans*

-5,626.6

-4,530.0

-5,626.6

-4,530.0

Total bond

27,830.5

24,400.3

27,830.5

24,400.3

Foreign bonds

27,830.5

24,400.3

27,830.5

24,400.3

Swedish bond

0.0

27,830.5

24,400.3

27,830.5

24,400.3

Total bond

* Liabilities which on the balance sheet date have a due date that occurs within one year. These liabilities have been transferred to short-term loans.

NOTE 30 Promissory note loan SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Opening promissory note loan

8,349.0

6,749.0

8,349.0

6,749.0

New loans

4,351.0

2,500.0

4,351.0

2,500.0

Reversal of prior year’s reclassification

900.0

230.0

900.0

230.0

-900.0

-230.0

-900.0

-230.0

0.0

-900.0

0.0

-900.0

Total promissory note loan

12,700.0

8,349.0

12,700.0

8,349.0

Foreign promissory note loans

12,700.0

8,349.0

12,700.0

8,349.0

Swedish promissory note loans

0.0

Borrowing from majority-owned companies

0.0

12,700.0

8,349.0

12,700.0

8,349.0

Amortizations Current portion of long-term loans*

Total promissory note loan

* Liabilities that on the balance sheet date has a due date within one year and not with certainty judged converted to long-term. These liabilities have been transferred to short-term loans.

NOTE 31 Other long-term liabilities SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Opening debt leasing

0.0

0.1

77.7

39.6

New debt leasing

0.0

46.4

57.9

Reversal

0.0

0.2

0.0

Amortizations

0.0

-0.2

-32.6

-19.8

Reclassification

0.0

-0.1

99.7

0.0

Total long-term liabilities leasing

0.0

191.2

77.7

Investment revenue work in progress

395.5

210.6

395.5

210.6

Activated investment income OB

128.9

108.2

128.9

108.2

Net acquisition

14.3

32.0

14.3

32.0

Net reclassification

10.3

-11.2

10.3

-11.2

Dissolved investment income Depreciation period (straight line depreciation) Total accrued investment income*

Financial statements

Brokered funds and debt funds Other long-term liabilities Total other long-term liabilities

122

-27.7

-20.8

-27.7

-20.8

3–70 years

521.3

318.8

521.3

318.8

40.2

42.6

40.2

42.6

0.6

200.4

349.6

562.1

362.0

953.1

788.6

* Investment grants are allocated as the corresponding asset. No conversion to current liabilities occurs when the dissolution of investment income is not affecting liquidity.

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

NOTE 32 Short-term liabilities SEK million

Accrued expenses and prepaid income Tax liabilities VAT Liabilities to suppliers Brokered funds, deposited funds, debt funds Personnel Taxes Holiday pay liability including employer contributions Unpaid overtime, including employer contributions Short-term liabilities to group companies* Other Total short-term liabilities

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

3,787.1 385.9 51.9 4,074.1 19.8 373.0 808.3 60.4 8,677.0 843.6

4,217.9 331.9 56.3 4,222.8 17.6 324.5 819.7 59.2 9,936.0 864.9

7,397.2 84.5 93.2 6,049.3 19.8 398.5 900.1 60.4 1,666.0

7,554.0 81.5 101.7 6,025.5 17.6 347.4 910.0 59.2 1,606.9

19,081.2

20,850.8

16,669.1

16,703.8

* The City administers funding for municipal companies. The companies borrow as needed by the City. Two of the companies borrow from the Stockholms Stadshus AB, instead of borrowing directly from the City.

NOTE 33 Short-term loans SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Utilized overdraft facilities* Deposit etc. Swedish commercial loans Foreign commercial loans Current portion of long-term loans**

0.0 1,000.0 700.6 359.1 5,626.6

476.0 0.0 0.0 0.0 5,430.0

0.0 1,014.5 700.6 359.1 5,626.6

489.1 0.0 0.0 0.0 5,430.3

Total short-term loans

7,686.3

5,906.0

7,700.7

5,919.4

* The City had at the date of the balance sheet date 31.12.2017 utilized its credit facility. The corresponding item in 2018 can be found on the asset side. ** Long-term loans which on the balance sheet date have a due date that occurs within one year have been transferred to short-term loans.

NOTE 34 Liability and guarantees SEK million

The City’s majority-owned companies Pension commitment Stockholms Stadshus AB Stockholms Parkering Stockholms Hamnar S:t Erik Markutveckling Stockholm Business Region Bostadsförmedlingen i Stockholm AV AB Svenska Bostäder Micasa Fastigheter i Stockholm AB SISAB Stockholm Vatten Holding AB Stockholm Globe Arena Fastigheter AB STOKAB AB Familjebostäder S:t Erik Livförsäkring AB

The City 31/12/2018

31/12/2017

0.0 4.0 6.9 2.3 2.7 3.2 2.6 3.1 3.3 7.6 1.7 3.4 1.4 1.7

0.7 4.0 6.5 2.1 5.5 3.0 2.4 2.9 3.0 7.6 1.5 3.3 1.2 1.5

43.8

45.1

Loan guarantees Stiftelsen Stockholms Studentbostäder Stockholms Stadsmission SYVAB Other legal entities

58.4 70.6 169.6 14.4

58.4 72.6 169.6 15.8

Total Loan guarantees

313.0

316.4

55.0 0.2

57.0 0.2

Total other legal entities

368.2

373.6

Total liabilities and guarantee commitments

411.9

418.7

Total liabilities and guarantee commitments for majority-owned companies Other legal entities/individuals

Note: The amounts in the table are rounded and totals are thus not exact.

The City of Stockholm’s Annual Report 2018

Financial statements

Pension commitment Municipal loss responsibility for small houses

123

NOTE 35 Pension liability commitment SEK million

Opening pension liabilities 1/1

The City 31/12/2018

31/12/2017

13,604.3

13,953.0

Recently earned and change in debt employees and retired Interest and base amount counting

301.7

344.4

Pension payments during the year

-684.9

-691.6

247.3

-1.5

Other Mail. Commitments for latent survivor’s pension added to the debt Total pension liability commitment Additional payroll tax Total pension liabilities commitment, including payroll tax

13,468.4

13,604.3

3,267.4

3,300.4

16,735.8

16,904.7

81.0

81.4

Pension obligation regarding temporary pension that has not yet begun to be paid reported as liability according to changed recommendation, 2015. Update rate (%)

NOTE 36 Derivative instruments Type of derivative SEK million

The City Nominal value

Hedged volume

Market value

31/12/2018 Foreign exchange/currency interest rate swaps*

9,844.7

Interest Rate Swaps

3,500.0

-66.3

13,344.7

-291.9 -244.8

Total

-225.6

31/12/2017 Foreign exchange/currency interest rate swaps

6,079.4

Interest rate swaps.

6,480.0

-142.9

12,559.4

-387.7

31/12/2018

31/12/2017

Total

Average rate external debt portfolio including derivatives (%)

0.76

0.97

Average rate external debt portfolio excluding derivatives (%)

0.72

0.80

Average fixed interest period (duration) of the external debt portfolio of derivatives year**

1.94

2.00

Average fixed interest term external debt portfolio excluding derivatives, year (%)

1.47

1.60

Interest expense for the external debt portfolio, including derivatives (SEK million)***

395.9

311.8

Interest expense for the external debt portfolio, excluding derivatives (SEK million)***

391.8

217.7

* Exchange/currency interest rate swaps have been translated to the hedging exchange rate. ** According to the finance policy, the average fixed-rate period (duration) should be in the range 1.5–4.5 years. *** Interest expenses are reported including the net of interest rate and currency swaps, in accordance with RKR21.

Financial statements 124

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

NOTE 37 Leasing SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Finance leases* Machinery and equipment Reported value

0.0

0.1

93.1

77.7

Present value of minimum lease fees

0.0

0.1

91.6

80.7

whereof maturities of 1 year

0.0

0.1

33.4

26.7

whereof due date later than 1 year but less than 5 years

0.0

58.2

54.0

whereof due date later than 5 years

0.0

0.0 4,465.1

Operating leases* are paid Minimum lease fees**

11,329.6

9,136.3

4,207.5

whereof maturities of 1 year

1,273.0

1,155.2

792.3

827.9

whereof due date later than 1 year but less than 5 years

4,007.2

3,519.4

1,889.2

1,932.4

whereof due date later than 5 years

6,049.4

4,461.6

1,526.0

1,704.8

whereof intra-group leasing**

9,519.7

6,879.7

18,059.3

with maturities of 1 year

839.1

639.5

whereof due date later than 1 year but less than 5 years

2,984.8

2,250.6

whereof due date later than 5 years

5,695.8

3,989.6

Operating leases are obtained Minimum lease fees**

0.0

23,439.1

whereof maturities of 1 year

0.0

9,195.6

9,143.7

whereof due date later than 1 year but less than 5 years

0.0

9,141.8

4,557.0

whereof due date later than 5 years

0.0

5,101.6

4,358.6

* For the City’s part, only contracts exceeding 3 years are included. Leases that meet the conditions for operating leases are included. Lease agreements with a total value of less than SEK 500,000, or an annual cost equivalent to a maximum of SEK 150,000 are not included in the accounts for the City. However, these limit amounts are not applied in the corporate group. It is estimated that it will only have a marginal impact, so no recalculation has been made. Financial leasing is included in the balance sheet on the asset side under “machinery and equipment” and under short and long-term liabilities. No agreement on financial leasing comprise variable fees. ** The selection criteria for the leases were reviewed in 2018 and in view of this, the 2017 figures have changed. Previously, suppliers Micasa (block housing) and SISAB were deselected. Now the same conditions apply regardless of supplier. The city’s IT business is leased from HCL Technologies. The duration of the agreement does not exceed 3 years and thus the financial commitment is not included in the above report. The cost for 2018 amounts to SEK 651.8 million (SEK 610.8 million).

NOTE 38 Post-dividend pursuant to § 5: 1 all companies SEK million

Post-dividend pursuant to § 5: 1 all companies 2012 Consumed Total remains Post-dividend pursuant to § 5:1 all companies 2013 Consumed Total remains

The City 31/12/2018

31/12/2017

670.0

-566.8

-520.6

103.2

149.4

1,900.0

-665.8

-572.6

1,234.2

1,327.4

Post-dividend pursuant to § 5:1 all companies 2014

450.0

Consumed

-184.3

-184.2

Total remains

265.7

265.8

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

The City of Stockholm’s Annual Report 2018

125

Notes to the cash flow statement INTERNAL ITEMS ARE ELIMINATED

NOTE 39 Reversal capital gains/losses SEK million

Reversal capital gains/losses

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

-2,552.1

-4,163.4

-2,617.0

-4,603.9

A reversal is made of capital gains/losses, so that the actual sales value is included under investing activities.

NOTE 40 Items that are not affecting liquidity SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

Adjustment for depreciation and write-downs

1,453.7

1,322.3

5,214.1

4,839.8

Adjustments for provisions made

1,060.4

3,539.8

1,079.5

3,626.4

Adjustment for transferred provision of loans

0.0

Adjustment of reinvested earnings

-7.0

-6.0

0.0

Adjustment for dissolved provisions

0.0

Income Tax

-25.2

-214.1

Non-cash flow affecting share of acquisition of rental property

0.0

Non-distributed earnings associates

0.0

Correction capital gains regarding previous year

0.0

Share of profits in associated companies

-555.9

-580.5

Other

0.5

-0.1

2,507.1

4,856.1

5,713.1

7,671.5

Total non-cash affecting items

NOTE 41 Decrease in provisions due to payments SEK million

Utilized provision Infrastructure grants are deducted, presented separately Total decrease in provisions due to payments

NOTE 42 Increase/decrease receivables SEK million

Utilized provision Infrastructure grants are deducted, presented separately Total decrease in provisions due to payments

NOTE 43 Increase/decrease short-term liabilities SEK million

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

-442.0

-159.2

-442.0

-159.2

364.2

155.8

364.2

155.8

-77.7

-3.4

-77.7

-3.4

The City

Municipal Group

31/12/2018

31/12/2017

-6,519.5

-4,744.9

702.5

156.3

3.5

4.3

-51.5

63.3

-6,516.0

-4,740.5

650.9

219.6

The City 31/12/2018

31/12/2018

31/12/2017

The City 31/12/2017

31/12/2018

31/12/2017

Change in short-term debt

-1,769.7

638.5

1,078.4

213.1

Change in short-term loans, excluding change in bank overdrafts

2,256.3

1,431.3

2,060.8

2,521.8

486.6

2,069.8

3,139.1

2,734.9

Total increase (+)/decrease (-) short-term liabilities

Financial statements

NOTE 44 Investment in intangible fixed assets SEK million

The City 31/12/2018

The City 31/12/2017

31/12/2018

31/12/2017

Capitalized development expenses

-6.7

-23.8

Total investment in intangible assets

-6.7

-23.8

126

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

NOTE 45 Investment in tangible fixed assets SEK million

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

-4,943.5

-4,369.5

-4,939.0

-3,962.8

-324.2

-238.5

-450.2

-379.3

Whereof ongoing new construction and renovation

-1,830.3

-1,247.7

-14,218.6

-11,737.6

Total investment in tangible fixed assets

-7,098.1

-5,855.7

-19,607.8

-16,079.7

Of which buildings and technical facilities Whereof machinery and equipment

NOTE 46 Sale of tangible fixed assets SEK million

Book value of land, constructions and technical facilities incl expl

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

666.3

780.5

652.1

1,098.5

Book value of machinery and equipment

0.3

0.4

5.9

29.5

Book value ongoing new construction and reconstruction

0.0

Capital gains/losses incl expl

2,540.9

4,163.4

2,617.0

4,603.9

Total sales of tangible fixed assets

3,207.5

4,944.4

3,275.0

5,731.9

NOTE 47 Investment in financial fixed assets SEK million

Purchase of stocks and shares

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

0.0

-46.1

Purchases of condominiums

-240.7

-41.9

-240.7

-41.9

Total investment in financial fixed assets

-240.7

-41.9

-240.7

-88.0

NOTE 48 Investment in financial fixed assets SEK million

Book value of financial fixed assets

The City 31/12/2018

2.3

Municipal Group 31/12/2017

0.0

31/12/2018

31/12/2017

6.4

4.7

Capital gain/loss

11.2

0.0

Total sale financial fixed assets

13.5

0.0

6.4

4.7

NOTE 49 Increase/decrease long-term liabilities SEK million

The City

Municipal Group

31/12/2018

31/12/2017

31/12/2018

31/12/2017

-5,626.6

-5,430.1

-5,626.6

-5,430.1

5,430.0

3,082.7

5,430.0

3,082.7

Accrual of premiums and discounts

-31.6

-28.0

-31.6

-28.0

New borrowing amortization etc*

189.8

53.9

-339.6

485.5

Reclassification to short-term debt Reversal of reclassification of long-term debt to funding for short-term

The item is reported under non-cash affecting items Total increase (+)/decrease (-) long-term liabilities

The City

7.0

6.0

7.0

6.0

-31.4

-2,315.6

-560.9

-1,883.9

* This includes resetting reclassified assets SEK 10.3 million in 2018 (11.2 million in 2017).

SEK million

Cash advance etc. Cash and cash equivalents (Bank etc) Utilized overdraft facilities Cash and cash equivalents at the end of period Note: The amounts in the table are rounded and totals are thus not exact.

The City 31/12/2018

Municipal Group 31/12/2017

31/12/2018

31/12/2017

6.9

5.8

6.9

5.8

43.2

0.0

52.2

75.6

0.0

-476.0

0.0

-476.0

50.0

-470.2

59.1

-394.6

The City of Stockholmâ&#x20AC;&#x2122;s Annual Report 2018

127

Financial statements

NOTE 50 Cash and cash equivalents at end of period

Audit report for the City Executive Board 2018 We, auditors appointed by the City Council, have examined the activities of the City Executive Board in 2018. The review of the City Executive Board also includes the city’s annual report and bookkeeping, including the consolidated accounts for the group Stockholms stad. The City Executive Board is responsible for directing, managing and coordinating the city’s activities and overseeing committees, companies and municipal associations. The Board is responsible for ensuring that the operations are conducted according to the municipal council’s goals, decisions and guidelines, as well as laws and regulations. The Board of Directors is responsible for monitoring and reporting to the municipal council. The City Executive Board is also responsible for establishing an annual report that gives a true and fair view of the city’s activities, financial results and position. Our responsibility is to review operations, internal control and accounts, and to test whether the operations have been conducted in accordance with the city council’ goals, decisions and guidelines and the laws and

regulations that apply to the acitivy. We shall also assess whether the results in the City’s annual report are consistent with the financial goals and operational goals decided by the City Council. The audit has been carried out in accordance with the Local Government Act, good auditing practices in municipal operations and the city’s audit regulations. The audit was performed with the focus and scope needed to provide a reasonable basis for opinions and liability assessment. We enclose a compilation including annual statement, which briefly describes the results of our review. The appointed lay auditors in the city’s company, Stockholms Stadshus AB, including subsidiaries, have examined the operations of these companies. We believe that the City Executive Board partly conducted the business in an appropriate manner. Two of the municipal council’s goals (An economically sustainable Stockholm and A democratically sustainable Stockholm) are judged to be fulfilled and two

targeting goals (A climate-smart Stockholm and A Stockholm that sticks together) are deemed to be partly met. We believe that from the financial point of view, the municipal executive board has conducted the business in an appropriate and satisfactory manner. All financial targets are deemed to be met. In all material respects, the accounts are deemed to be accurate. We believe that the City Executive Board’s internal control over the city’s activities has essentially been sufficient. We recommend that the city’s annual report for 2018 be approved. We recommend that the City Council grant discharge from the municipality board and its individual members. The auditor’s report includes an annual report summarizing the results of audits of the city’s committees and companies, as well as audit reports according to the attached list.

Stockholm April 11 2019 Bosse Ringholm Ulf Bourker Jacobsson Håkan Apelkrona Barbro Ernemo Carolina Gomez Lagerlöf

Birgitta Guntsch Susann Jensen Engström Fredrik Jöngren Katarzyna Konkol Bengt Lagerstedt

Sven Lindeberg Ulla-Britt Ling-Vannerus Eva Lundberg Inge-Britt Lundin Amanj Mala-Ali

Lars Riddervik Gun Risberg Michael Santesson David Winks Gunnar Ågren

The audit report includes the annexes below ff The Auditors’ annual

statement 2018 experts’ annual reports 2018 per Committee (No. 1–32) ff The experts’ review-PM 2018 per company (No. 1–17) ff The experts project reports (No. 5–13, 2018, and No. 1 2019) ff Audit reports from the lay auditors and audit reports from the authorized auditors of companies: Stockholms Stadshus AB • AB Svenska Bostäder – AB Stadsholmen, IT-BO i Stockholm AB, Svenska bostäder L-Bolag 1 AB, Fastighets AB Centrumhuset i Vällingby • AB Familjebostäder – AB Familjebostäder Fastighetsnät, Hemmahamnen Kontor AB, Gyllene Ratten Ny AB • AB Stockholmshem – AB Stockholmshem Fastighetsnät , Bostads AB Hammarbygård, Västertorp Energi AB, Anser AB • Skolfastigheter i Stockholm AB (SISAB) • Bostadsförmedlingen i Stockholm AB • Stockholm Vatten och Avfall AB – Stockholm Avfall AB, Stockholm Vatten AB • Stockholms Hamn AB – Nynäshamns Hamn AB • Stockholms Stads Parkerings AB • Stokab – S:t Erik Kommunikation AB, S:t Erik Fiber AB • Stockholms Stadsteater AB • Stockholm Globe Arena Fastigheter AB – Stockholm Entertainment District AB, Södra Byggrätten Globen AB, Arena 9 Norra Fastigheten AB • Stockholms Business Region AB – Visit Stockholm AB, Invest Stockholm Business Region AB • Micasa Fastigheter i Stockholm AB • S:t Erik Markutveckling AB –Fastighets AB G-mästaren, Fastighets AB Runda Huset, Fastighets AB Charkuteristen, Fastighets AB Styckmästaren, Fastighets AB Tuben, Kylfacket förvaltning AB, Fastighets AB Kylrummet, Fastighets AB Palmfelt center, Norra Station AB, Fastighets AB Langobardia, Fastighets AB Gavia, Fastighets AB Godsfinkan, Fastighets AB Grosshandlarvägen • S:t Erik Livförsäkring AB • S:t Erik Försäkrings AB ff The

Financial statements

128

The City of Stockholm’s Annual Report 2018

Committees, companies and foundations

Committees SEK million

City Executive Board Audit Board Service Committee Election Committee City District Councils

Number of employees

Budget net costs

Net result excl income funds

Change profit fund

Deviation outcome in 2018

Outcome net investment

439

-1,443

-1,364

-24

-27

-25

-1 0

378

-4

-3

-39

-32

20,084

-21,211

-21,146

-11

-303

Labour Market Committee

938

-861

-847

-6

City Development Committee

255

1,175

1,220

-3,365

Real Estate Committee

181

258

-1,978

Sports Committee

449

-699

-679

-59

Culture Committee: Culture Department

959

-936

-935

-23

-63

-60

-45

Cemeteries Committee

114

-179

-166

-59

Environment and Health Committee

269

-116

-115

-1

Social Services Committee

972

-1,198

-1,165

-1

City Planning Committee

383

-174

-168

Transport Committee

410

-567

-458

109

-1,154

Education Committee

Culture Committee: City Archives

15,793

-18,510

-18,357

-151

-139

Elderly Services Committee

138

-178

-173

-4

Public Trustees Committee

-71

-70

43,936

-44,844

-44,285

-183

375

-7,139

Total committees

The number of employees refers to all monthly salaried per 31/12/2018. Budget and outcome are including capital costs and between committees internal transactions. Increase in profit fund (-). Deviation is after profit appropriation.

District Councils SEK million

Number of employees

Budget net costs

Net result excl income funds

Change profit fund

Deviation outcome in 2018

Outcome net investment

Rinkeby-Kista District Council

1,398

-1,592

-1,591

-1

Spånga-Tensta District Council

1,018

-1,151

-1,140

-11

-9

Hässelby-Vällingby District Council

1,672

-1,928

-1,927

-24

Bromma District Council

1,772

-1,564

-26

Kungsholmen District Council

1,153

-1,181

-1,180

-1

-21

865

-1,123

-1,118

-23

Norrmalm District Council

-19

Östermalm District Council

1,210

-1,418

-1,389

-18

Södermalm District Council

1,872

-2,308

-2,306

-2

-25

Enskede-Årsta-Vantör District Council

2,679

-2,347

-2,355

-48

893

-1,146

-1,147

-15

Farsta District Council

1,443

-1,637

-1,627

-7

-12

Älvsjö District Council

722

-655

-650

-4

-12

Hägersten-Liljeholmen District Council

2,327

-1,943

-1,940

-37

Skärholmen District Council

1,088

-1,217

-1,214

-13

20,112

-21,211

-21,146

-11

-303

Skarpnäck District Council

Total District Councils

Financial statements

Anmärkning: belopp i tabellen är avrundade och summerar därför inte exakt.

The City of Stockholm’s Annual Report 2018

129

The District Councils’ operational areas The budgetary net costs

SEK million

Committee and management administration

Net result excl income funds

Change profit fund

Deviation outcome in 2018

-719

-672

Individual – and family care

-2,200

-2,252

-51

whereof social psychiatry

-478

-537

-59

City environment activities

-223

-249

-26

depreciation

-125

-115

-9

-4,825

-4,774

-12

internal interest rates Pre-school activity Elderly care services

-7,400

-7,354

Support and services for people with impairment

-3,935

-4,004

-4

-73

Culture and association activities

-412

-375

Labour market actions

-226

-214

-1,113

-1,121

-8

-290

-330

-39

-25

-7

-21,211

-21,146

-11

Financial assistance Whereof administrators Other operations Total activities The revenues and expenses of the business include internal transactions.

Foundations and municipal associations OPERATING INCOME

SEK million

Average number of employees

Stiftelsen Barnens Dag

75.9

Stiftelsen Hotellhem i Stockholm

199

The City’s contribution

Other operating income

Other income/ expenses net Operating including expenses depreciations

Surplus for the year after appro priations

Balance sheet total

61.5

-57.5

-2.4

1.6

61.5

39.9

351.6

-390.5

-1.6

-0.6

144.8 46.3

Stiftelsen Stockholm Water Foundation

0.0

-0.1

-8.8

4.3

-4.2

Stiftelsen Strindbergsmuseet

5.9

9.2

-9.1

-0.4

0.1

7.9

282.9

45.8

422.2

-465.9

-0.1

-3.1

260.5

390.5

288.0

-630.9

-32.9

14.7

929.2

Total Foundations

Foundations where the City appoints at least half of the board members.

Statutory joint associations Greater Stockholm Fire Defence

751

Financial statements 130

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.

Limited companies SEK million

Number of employees

Result after Turnover financial net

Balance sheet total

Equity 1

Interest rate capital 2, %

Payment ability 3 , %

Investment

Stockholms Stadshus AB (Group) 10

39.0

475.0

25,885.0

25,373.0

2.5

98.0

0.0

AB Svenska Bostäder, group

Stockholms Stadshus AB, parent company

345

2,875.0

211.0

27,401.0

13,181.2

1.3

48.1

2,560.0

AB Familjebostäder, group

332

1,938.0

309.0

16,330.0

9,590.8

2.3

58.7

1,515.0

AB Stockholmshem, group

376

2,509.0

361.0

23,564.0

9,707.8

2.1

41.2

2,195.0 171.0

Micasa Fastigheter i Stockholm AB

1,107.0

244.0

6,949.0

794.7

4.3

11.0

Bostadsförmedling i Stockholm AB

100

113.0

1.0

90.0

23.2

0.9

22.8

3.0

Skolfastigheter i Stockholm AB, SISAB

240

2,408.0

23.0

16,266.0

345.9

1.1

1.2

2,417.0

Stockholm Vatten och Avfall AB, group

582

2,369.0

152.0

14,673.0

818.0

1.8

5.6

2,111.0

Stockholms Hamn AB, group

184

866.0

93.0

5,718.0

926.7

2.5

16.2

1,141.0

AB Stokab

819.0

247.0

2,007.0

788.2

12.6

39.3

233.0

Stockholms stads Parkerings AB, group

607.0

164.0

1,228.0

114.1

14.6

8.7

130.0

446

164.0

-363.0

455.0

2.9

Neg

0.4

12.0

62.0

-101.0

3,638.0

497.9

Neg

13.7

33.0

S:t Erik Försäkrings AB

134.0

34.0

249.0

259.5

13.7

56.1

0.0

S:t Erik Livförsäkring AB

80.0

-72.0

2,447.0

642.9

Neg

22.2

0.0

149.0

-1.0

192.0

24.2

Neg

12.6

0.0

301.0

82.0

3,079.0

28.1

3.6

0.9

111.0

13.6

Mässfastigheter i Stockholm AB, group

269

684.0

26.0

941.0

377.8

5.4

40.1

58.0

Stockholm Exergi AB

712

7,119.3

1,145.8

29,445.0

12,652.6

4.4

43.0

1,817.0

3,948

24,343.3

3,030.8

180,570.6

76,163.1

Stockholms Stadsteater AB Stockholm Globe Arena Fastigheter AB, group

Stockholm Business Region AB, group S:t Erik Markutveckling AB, group Övriga bolag, Intressebolag SSAB

Total limited companies*

* The associated companies’ share of profit is included in the Group’s operating profit.

1 Equity is expressed here as the sum of restricted and non-restricted equity according to the balance sheet and 78% of the untaxed reserves. 2 The interest rate on total capital is calculated as follows: Profit after net financial items plus financial expenses divided by average total assets. 3 The solvency ratio is calculated as follows: Equity and 78 % of the untaxed reserves divided by total assets.

14,507.0

Financial statements

Note: The amounts in the table are rounded and totals are thus not exact.

The City of Stockholm’s Annual Report 2018

131

Five year review

Five year review General information

Population

2014

2015

2016

2017

2018

911,989

923,516

935,619

949,761

962,154

9.4

percent of total popluation

56.1

56.0

56.3

56.8

percent of population 15–74 year

73.6

73.4

73.9

74.00

74.7

7.1

6.9

6.1

5.4

Taxable income, SEK million*

210,351

220,055

233,635

245,950

254,667

per inhabitant, SEK**

234,322

241,292

252,985

262,874

267,802

national average for SEK

190,264

194,220

201,878

208,818

213,189

Stockholm SEK

29.5

29.86

30.06

29.98

Wherof the City:

17.33

17.68

17.90

national share, percent Employment rate 15–74 years (ACK)

Unemployment rates, percent of the workforce 15–74 year

Total municipal tax rate:

county

parishes

12.10

12.08

Funeral fee

0.065

0.075

Total municipal average tax rate, nation SEK

31.86

31.99

32.10

32.12

313.42

313.35

316.43

322.11

328.40

Inflation (annual average), per cent

-0.2

0.0

1.0

1.8

2.0

The City’s operations

2014

2015

2016

2017

2018

Consumer price index, annual average for the nation (1980=100)

The year’s change in equity, SEK million

3,450

1,924

4,643

2,361

3,176

Profit/loss of the year according to balance requirement, SEK million

2,729

1,560

4,225

828

2,613

Operation costs, SEK million

45,916

48,350

51,887

52,947

54,877

Operating revenues including tax and general government grants, SEK million

46,702

49,229

53,188

54,821

56,266

Assets SEK million

120,823

133,427

138,735

147,274

159,061

per inhabitant, SEK

132,483

144,477

148,282

155,064

165,318

Liabilities SEK million

60,160

70,671

71,336

77,514

86,125

whereof provisions

13,089

12,565

14,265

17,646

18,265

liabilities per inhabitant, SEK

65,966

76,524

76,245

81,614

89,512

Equity SEK million

60,663

62,756

67,399

69,760

72,937

per inhabitant, SEK

66,517

67,953

72,037

73,450

75,806

4,314

4,923

5,759

5,908

7,349

Number of employees, approx.

36,743

38,325

39,868

40,691

42,231

corrisp. fulltime employments, approx.

35,069

36,765

38,267

39,302

40,594

Salaries and payroll expenses, SEK million

16,809

17,864

19,501

20,593

21,780

Payment ability % Investments (gross) SEK million

Majority-owned companies’ operations ***

Number of companies/groups included here

2014

2015

2016

2017

2018

123,542

122,325

137,934

143,424

151,125

14,678

15,214

15,980

16,320

17,224

733

1,086

1,347

1,913

1,598

Equity SEK million

59,814

60,704

57,974

63,681

63,510

Investments (gross) SEK million

Balance sheet total, SEK million Turnover SEK million Profit/loss after tax, SEK million

10,621

10,936

10,374

10,923

12,690

Number of employees, converted to full-time employment

2,741

2,817

2,895

3,103

3,236

Wages, SEK million

1,309

1,374

1,437

1,511

1,610

* Tax year. ** Number of inhabitants during the tax year. *** The summaries do not refer to the consolidated accounts (the municipal group) but only the sum of the companies included.

Financial statements 132

The City of Stockholm’s Annual Report 2018

Note: The amounts in the table are rounded and totals are thus not exact.