Oxford Economics study: EU membership good for Finland

The new study looks at the impact of being an EU member for Finland's economy and job creation.

Detail of blue balloons with EU logo / Credit: News Now Finland

A new study from Oxford Economics finds that membership of the European Union has been good for Finland.

The study was commissioned by Akava, the Finnish trade union for people with university, professional or other high-level education and carried out by UK-based Oxford Economics, which specialises in economic forecasting models.

Some of the key findings from the research are that since Finland joined the EU in 1995, gross domestic product GDP has increased by up to 1.7% boosting household incomes by an average of €1020 to €1450 compared to Finland not being an EU member.

Another headline from the report is that being a member of the EU has meant an extra 40,000 jobs were created in Finland.

According to the new report, the positive numbers are largely due to Finland’s access to the EU internal market, with the volume of trade and investment growing significantly, something that wouldn’t have happened without being part of a club with 500 million members.

The Oxford Economics researchers expect growth to continue in the future, especially taking into account EU projects like the Energy Union, digital single market strategy, the capital markets union and international trade deals in the pipeline.

Although the new report finds that Finland’s net contribution to the EU is relatively small at around €93 million, and that the price of implementing EU legislation for Finnish companies is 0.4% of GDP, there was one area that fell short of a glowing track record.

The economists estimate that joining the Euro has been neutral for Finland – not wholly positive, but not negative either.

Before 2007 being in the Eurozone had a positive impact on Finland’s growth, but since then the study finds it would no longer be considered positive.