The total value of Swedes' debts with Kronofogden, the Enforcement Authority, is now 138 billion kronor, an increase of 16 percent since the start of last year.
The number of people in debt has increased by more than 20,000, with a total of 438,996 individuals registered with Kronofogden at the start of 2025. Debts among those aged 35-44 have increased the most.
“It’s a serious situation,” the agency’s personal finance spokesperson Davor Vuleta told the TT newswire.
Debts are passed on to Kronofogden after repeated bills or invoices have gone unpaid. If you don't pay up they can result in a black mark on your credit record, which can stop you from hiring a car, getting a credit card, borrowing money (including taking out a mortgage), taking out a phone contract or even renting an apartment.
For immigrants, it can even stop you from getting permanent residency or citizenship.
“In the past two years, we’ve seen a dramatic increase,” Vuleta said. “You have to go back to the nineties to see a similarly dramatic situation.”
According to Vuleta, many of those who are registered with the agency also risk staying so for years. Studies have shown that one in four people who end up registered with Kronofogden is still registered with them five years later, and many stay registered with the agency for decades.
“90,000 people have been with us for 20 years or more. It becomes a vicious cycle which is hard to get out of,” he added.
The increase in the total debt amount handled by the agency also means that the average debt per person has gone up, which means more people stay in debt, he continued.
The average debt with the agency is now 85,000 kronor, while the largest category – 92 million kronor – is made up of loans, credit and consumption.
Vuleta said that the increase is due in large part to recent price increases.
“We’ve lived well for a number of years, then inflation came with interest rate hikes and it became very difficult for those who had taken on too many loans. Swedish households have a tough financial situation.”
“Sometimes it feels like you’re repeating yourself,” he added, “but for two years we’ve said time and time again that it’s a very serious situation.”
The agency predicts however that the amount of debt and the amount of people in debt is starting to stabilise, unless anything unexpected happens.
“Our prediction is that the peak was in 2024. Now the economy is about to change for the better, people will have more money in their wallets.”
Finance Minister Elisabeth Svantesson said that she is not surprised at the sharp increase in household debt, but that it is concerning.
“We’ve had some very difficult years, and even before we saw high inflation there were many people who were struggling.”
She said that online shopping has made it easier for people to spend beyond their means.
“Maybe there needs to be more information, even though Kronofogden does a lot of work in that area. But maybe there needs to be more information on personal finances in schools,” she added.
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