Auditor General: Funding decisions are increasingly dictated by the need to maintain basic services at their current level

11/5/2025 | 11:16 PM

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TALLINN, 6 November 2025 – Yesterday evening auditor General Janar Holm delivered his annual report to the parliament, focusing on the ambitious goals set by the state in a variety of spheres and the possibility of them being achieved, as well as the commitments that have already been made and the provision of basic services. The Auditor General recommended linking the objectives of development plans and strategies to actual capabilities, warning that unrealistic dreams will only lead to later disappointment.

“There is less and less talk, at least with any serious intent behind it, of the state doing something new or offering something more than it currently does, if it requires more money,” Holm remarked. “Instead, the core question is increasingly becoming whether it is even possible to maintain services or infrastructure in different areas of life at the level to which we have become accustomed.”

Based on the annual report of the National Audit Office, Holm noted that there will be a shortfall of a minimum of 1.35 billion euros in the period from 2026-2030 to meet targets and commitments related to maintaining the condition of existing national roads, constructing new national roads and railways and improving railway safety. With the government deficit projected to reach the maximum permissible level of 4.5% of GDP in the next two years and 3.6% in 2029, and given the capacity of the public purse, it is clear that meeting these targets and commitments is unrealistic within this timeframe.

“In that light, making choices is even more important,” the Auditor General added. “The situation is further complicated by the fact that other spheres need money by the ladleful rather than the spoonful.”

Holm explained that the audits in various areas of state life carried out by the National Audit Office over the last 12 months have revealed instances of the state being unable to fulfil its legal obligations due to a lack of funds.

The Auditor General pointed out that the Ministry of Social Affairs is not meeting its obligation under the Social Welfare Act to ensure the availability of special welfare services. As a result, there is a severe shortage of places, and it often takes people years of trying to find a suitable place.

“For example, a person with an autism spectrum disorder who is on the ordinary waiting list may never get a place within their lifetime if nothing changes,” he warned. “Let me underscore this point: providing the required support to those with special needs is not something that can be done, but something that must be done. It is required by law.”

In regard to other fields, the Auditor General noted that the Ministry of Education and Research, as the administrator of the nation’s schools, has failed to ensure that all vocational school students receive the support foreseen for them in legislation. As many as 90% of vocational schools have admitted that they are unable to provide support measures or support services to students with special educational needs, even though these students are entitled to them by law.

“At the same time, the ministry pushed for the extended duration of compulsory education that came into force this autumn so as to reduce the drop-out rate upon the completion of basic schooling,” Holm added. “This new obligation has been introduced at a time when the ministry itself is failing to deliver on its existing commitments. Many youngsters in need of support services would be happy to study at a vocational school without it being mandatory if the ministry fulfilled its obligation to create opportunities for them to do so.”

The Auditor General said that many of the state’s own development documents seem to be rooted in fantasies rather than possibility, adding that if choices are not made and priorities not set, many people are given hope in the knowledge that few will actually have a chance.

“The state’s strategy documents and the targets they set should not constitute a form of sweet self-deception, but realistically address the state’s priorities and present viable options,” he urged. “If they don’t, there is no point wasting time drafting them. All that leads to is frustration and alienation.” Holm says that the state reflected in the strategy documents is not one we will ever be able to sustain or fit into the national budget.

“Everyone has the right to dream, but the state has a duty to act, not offer its people fantasies,” he remarked. “Before anyone starts dreaming about linking the state’s strategic planning to the national budget, the strategic goals themselves should be linked to real life and the actual possibilities that are available to us.”

Priit Simson

Communication Manager, National Audit Office

+372 5615 0280

+372 640 0777

[email protected]

[email protected]

http://www.riigikontroll.ee/

 

  • Posted: 11/5/2025 11:16 PM
  • Last Update: 11/6/2025 7:28 PM
  • Last Review: 11/6/2025 7:28 PM

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