Quarterly local government finances: documentation of statistics
16.11.2024 valid documentation
Basic data of the statistics
Data description
The statistics on quarterly local government finances describe quarterly developments in the finances of municipalities and joint municipal authorities in Mainland Finland. The statistics comprise data on the items of profit and loss accounts, cash flow statements and balance sheets of municipalities and joint municipal authorities and of their enterprises in the non-financial corporations sector.
Statistical population
The total population includes all municipalities and joint municipal authorities in Mainland Finland.
A sample of 80 municipalities and 69 joint municipal authorities is extracted annually from the total population for the compilation of statistics for the first, second and third quarters. The fourth-quarter data are collected from all municipalities and joint municipal authorities in Mainland Finland.
The sampling of municipalities and joint municipal authorities is based on stratified simple random sampling. The population of municipalities is stratified into five strata according to the level of the operating expenses. Due to the smaller population size, joint municipal authorities are stratified into four strata.
The statistics follow the principle of rotation sampling, in which about a fifth of the municipalities and joint municipal authorities in the random sample change each year.
A sample of 80 municipalities and 69 joint municipal authorities is extracted annually from the total population for the compilation of statistics for the first, second and third quarters. The fourth-quarter data are collected from all municipalities and joint municipal authorities in Mainland Finland.
The sampling of municipalities and joint municipal authorities is based on stratified simple random sampling. The population of municipalities is stratified into five strata according to the level of the operating expenses. Due to the smaller population size, joint municipal authorities are stratified into four strata.
The statistics follow the principle of rotation sampling, in which about a fifth of the municipalities and joint municipal authorities in the random sample change each year.
Statistical unit
The data are collected on a sample basis from municipalities and joint municipal authorities for the compilation of statistics for the first, second and third quarters. The fourth-quarter data are collected from all municipalities and joint municipal authorities in Mainland Finland. Data are published in aggregate at the levels of municipalities of Mainland Finland and joint municipal authorities of Mainland Finland.
Unit of measure
The unit of measure used is EUR 1,000.
Base period
The data are cumulative quarterly data. Cumulative quarterly data cover the timeperiod between the beginning of each statistical reference year and the end of each quarter.
Reference period
The statistics on quarterly local government finances are published four times a year approximately two months after the end of each quarter.
The data of the statistics are published cumulatively for the investment data on the profit and loss accounts and the cash flow statement from the beginning of the reference year until the end of each quarter. The published balance sheet data reflect the situation on the last day of each quarter. This means that the data for the last quarter of the year correspond to the cumulative data for the entire year and the closing balance sheet.
The data of the statistics are published as preliminary data and may become revised for the last reference year as the respondents specify their data for the previous quarters. The final financial statements data are published in the statistics on local government finances.
The data of the statistics are published cumulatively for the investment data on the profit and loss accounts and the cash flow statement from the beginning of the reference year until the end of each quarter. The published balance sheet data reflect the situation on the last day of each quarter. This means that the data for the last quarter of the year correspond to the cumulative data for the entire year and the closing balance sheet.
The data of the statistics are published as preliminary data and may become revised for the last reference year as the respondents specify their data for the previous quarters. The final financial statements data are published in the statistics on local government finances.
Reference area
All municipalities in Mainland Finland and all joint municipal authorities in Mainland Finland.
Sector coverage
The statistics cover the local government sub-sector of municipalities and joint municipal authorities. The statistics describe all the areas of responsibility of municipalities and joint municipal authorities in aggregate.
Time coverage
The data of the statistics on quarterly local government finances are available from 2016 onwards. The data published in the statistics may be revised over a period of one year after the initial release.
Data of quarterly local government finances are available from 2013 onwards from the statistics on local government finances by quarter.
Data of quarterly local government finances are available from 2013 onwards from the statistics on local government finances by quarter.
Frequency of dissemination
The data of the statistics on quarterly local government finances are published four times a year approximately two months after the end of each quarter.
Concepts
Annual contribution margin
Annual contribution margin indicates the income financing available for investments and the paying of loan instalments after running costs have been covered. It is a key figure when evaluating the adequacy of income financing. The basic assumption is that income financing is adequate if the annual contribution margin is at least equal to the capital depreciations.
The depreciations indicate the average annual need for replacement investments. If the annual contribution margin covers depreciations (replacement investments), the municipality does not need to contract debts, realise capital assets or long-term investments or lower its working capital in order to keep the production system of services operational. If the annual contribution margin is negative, income financing does not even cover running costs.
The depreciations indicate the average annual need for replacement investments. If the annual contribution margin covers depreciations (replacement investments), the municipality does not need to contract debts, realise capital assets or long-term investments or lower its working capital in order to keep the production system of services operational. If the annual contribution margin is negative, income financing does not even cover running costs.
Joint municipal authority
Joint municipal authorities were introduced as a form of intermunicipal cooperation in connection with the revision of the Local Government Act in 1993. They replaced the earlier inter-municipal associations. A joint municipal authority is a form of permanent collaboration of more than one municipality in some field of operation. A joint municipal authority is set up under an agreement (charter) between the local authorities concerned which has been approved by their councils.
Joint municipal authorities are independent legal persons and governed by the legislation on local government. A joint municipal authority can acquire rights and enter into commitments and has the right to be heard before authorities. Ultimately, the participating municipalities are responsible for the finances of the joint municipal authority.
Joint municipal authorities are independent legal persons and governed by the legislation on local government. A joint municipal authority can acquire rights and enter into commitments and has the right to be heard before authorities. Ultimately, the participating municipalities are responsible for the finances of the joint municipal authority.
Loan stock
Liabilities - (Advances received + Accounts payable + Adjusting entries for liabilities + Other liabilities) from the balance sheet of the municipality/joint municipal board.
The loan stock of a municipality or joint municipal board refers to interest-bearing liabilities.
The loan stock of a municipality or joint municipal board refers to interest-bearing liabilities.
Tax funding
The tax-based financing of municipalities comprises municipal tax revenue and state subsidies to municipalities.
Accuracy, reliability and timeliness
Overall accuracy
The statistics on quarterly local government finances measure quarterly developments in certain expenditure, income, investments, loans and receivables of the on-budget entities of municipalities and joint municipal authorities. Municipalities and joint municipal authorities complete the related survey using an online form.
For the statistics, a sample survey is conducted in the first, second and third quarters and a total survey is carried out in the last quarter of the year. Since the data in the statistics are based on a sample in the first, second and third quarters, the data for these quarters involve a sampling error which varies by variable and by quarter. In particular, investment data and some of the smaller balance sheet items involve a more significant error in these quarters compared to other balance sheet items due to the random appearance of these items in the population and their high variability between quarters. The determination of the stratification of the sample design according to the level of operating expenses also means that the data are more reliable for the profit and loss accounts than for the balance sheet.
The data for the last quarter of the year are collected from all municipalities and joint municipal authorities in Mainland Finland. Such data do not therefore involve a sampling error. However, the collection of data for the last quarter takes place before municipalities and joint municipal authorities have completed their final accounts, so the data provided by the respondents are estimates insofar as they concern accounts and elements of financial statements that are not yet completed. The Q4 data concerning the entire reference year will be revised later in the final financial statements released in the statistics on local government finances.
For the statistics, a sample survey is conducted in the first, second and third quarters and a total survey is carried out in the last quarter of the year. Since the data in the statistics are based on a sample in the first, second and third quarters, the data for these quarters involve a sampling error which varies by variable and by quarter. In particular, investment data and some of the smaller balance sheet items involve a more significant error in these quarters compared to other balance sheet items due to the random appearance of these items in the population and their high variability between quarters. The determination of the stratification of the sample design according to the level of operating expenses also means that the data are more reliable for the profit and loss accounts than for the balance sheet.
The data for the last quarter of the year are collected from all municipalities and joint municipal authorities in Mainland Finland. Such data do not therefore involve a sampling error. However, the collection of data for the last quarter takes place before municipalities and joint municipal authorities have completed their final accounts, so the data provided by the respondents are estimates insofar as they concern accounts and elements of financial statements that are not yet completed. The Q4 data concerning the entire reference year will be revised later in the final financial statements released in the statistics on local government finances.
Timeliness
The statistics on quarterly local government finances are published four times a year approximately two months after the end of each quarter.
The data of the statistics are compiled cumulatively for the investment data on the profit and loss accounts and the cash flow statement from the beginning of the reference year until the end of each quarter. The balance sheet data collected reflect the situation on the last day of each quarter. This means that the data for the last quarter of the year correspond to the cumulative data for the entire year and the closing balance sheet.
The data of the statistics are published as preliminary data and may become revised for the last reference year as the respondents specify their data for the previous quarters. The final financial statements data are published in the statistics on local government finances.
The data of the statistics are compiled cumulatively for the investment data on the profit and loss accounts and the cash flow statement from the beginning of the reference year until the end of each quarter. The balance sheet data collected reflect the situation on the last day of each quarter. This means that the data for the last quarter of the year correspond to the cumulative data for the entire year and the closing balance sheet.
The data of the statistics are published as preliminary data and may become revised for the last reference year as the respondents specify their data for the previous quarters. The final financial statements data are published in the statistics on local government finances.
Punctuality
There are no delays between the release calendar and the actual release date.
Comparability
Comparability - geographical
The data in the statistics are published at the level of Mainland Finland.
Comparability - over time
The data are comparable at current prices between different years and quarters.
Coherence - cross domain
The financial variables used in the statistics on quarterly local government finances are mostly the same as those used in the statistics on local government finances.
Coherence - internal
The data are internally coherent.
Source data and data collections
Source data
The statistics on quarterly local government finances are based on data collected in the data collection on quarterly local government finances.
Data collection
The data are collected through direct data collection using an online form.
Frequency of data collection
The data are collected quarterly.
Methods
Data compilation
The data are revised in cooperation with the data suppliers on the basis of deviations and other inconsistencies identified. The data does not usually contain missing values or missing data.
Data validation
Quality assurance consists of automated data validation, audits based on expertise, and aggregate-level audits.
Principles and outlines
Contact organisation
Statistics Finland
Contact organisation unit
Economic Statistics
Legal acts and other agreements
The compilation of statistics is guided by the general act of the national statistical service, the Statistics Act (280/2004, amend. 361/2013). Only the necessary data that are not available from administrative data sources are collected from data suppliers. Index series are published so that no individual enterprise’s data or development can be deduced from them.
Confidentiality - policy
The data protection of data collected for statistical purposes is absolutely guaranteed in accordance with the Statistics Act (280/2004), the Personal Data Act (532/1999) and the Act on the Openness of Government Activities (621/1999), as well as the requirements of the EU’s General Data Protection Regulation (2016/679). The data materials are protected at all stages of processing with the necessary physical and technical solutions. Statistics Finland has compiled detailed directions and instructions for confidential processing of the data. Employees have access only to the data essential for their duties. The premises where unit-level data are processed are not accessible to outsiders. Members of the personnel have signed a pledge of secrecy upon entering the service. Wilful breaching of data protection is punishable.
Confidentiality - data treatment
The data are protected against unauthorised access in accordance with the data protection rules adopted by Statistics Finland. Unit-level data may only be processed at Statistics Finland by persons whose duties require the use of such data.
Release policy
Statistics Finland’s release calendar lists in advance all the statistical data and publications to be released over the year. Statistical releases can be found under statistics-specific releases. Statistical data are released on the Internet at 8 am, unless otherwise indicated. The calendar is updated on weekdays. Statistics Finland’s release calendar for the coming year is published every year in December.
Data sharing
The data collected for the statistics by municipality and joint municipal authority for the last quarter of each reference year are available in the ‘Financial data reported by municipalities and joint municipal authorities’ database from 2017 onwards.
Accessibility and clarity
The database tables of the statistics on quarterly local government finances are published in Statistics Finland’s StatFin database.
Quality assessment
Official Statistics of Finland (OSF) are a comprehensive collection of statistics describing the development and state of society. They comprise nearly 300 sets of statistics on 26 different topics. The producers of Official Statistics of Finland have approved a common quality assurance in which they commit to common quality criteria and quality assurance measures. The quality criteria of Official Statistics of Finland are compatible with the European Statistics Code of Practice. The good practices followed in the statistics are presented in Statistics Finland’s Quality Guidelines for Official Statistics handbook.
Official Statistics of Finland (OSF) are a comprehensive collection of statistics describing the development and state of society. They comprise nearly 300 sets of statistics on 26 different topics. The producers of Official Statistics of Finland have approved a common quality assurance in which they commit to common quality criteria and quality assurance measures. The quality criteria of Official Statistics of Finland are compatible with the European Statistics Code of Practice. The good practices followed in the statistics are presented in Statistics Finland’s Quality Guidelines for Official Statistics handbook.
Official Statistics of Finland (OSF) are a comprehensive collection of statistics describing the development and state of society. They comprise nearly 300 sets of statistics on 26 different topics. The producers of Official Statistics of Finland have approved a common quality assurance in which they commit to common quality criteria and quality assurance measures. The quality criteria of Official Statistics of Finland are compatible with the European Statistics Code of Practice. The good practices followed in the statistics are presented in Statistics Finland’s Quality Guidelines for Official Statistics handbook.
Quality assurance
When compiling statistics, Statistics Finland observes the European Statistics Code of Practice (CoP) and the Quality Assurance Framework (QAF) based on them. The Code of Practice concerns the independence and accountability of statistical authorities and the quality of processes and data to be published. The principles are in line with the Fundamental Principles of Official Statistics approved by the United Nations Statistics Division and are supplementary to them. The quality criteria of Official Statistics of Finland are also compatible with the European Statistics Code of Practice. The principles are also compatible with those of the European Foundation for Quality Management (EFQM).
More information about this is available on Statistics Finland’s on quality management pages.
Every year Statistics Finland conducts statistical auditing that helps to ensure the quality of statistics.
More information about this is available on Statistics Finland’s on quality management pages.
Every year Statistics Finland conducts statistical auditing that helps to ensure the quality of statistics.
User access
Data are released to all users at the same time.
The disclosure of data is governed by Section 12 of the Statistics Act (280/2004, amend. 361/2013), according to which data describing the activities and public service production of central and local government authorities that are public based on other legislation are also public as statistical data.
The disclosure of data is governed by Section 12 of the Statistics Act (280/2004, amend. 361/2013), according to which data describing the activities and public service production of central and local government authorities that are public based on other legislation are also public as statistical data.