The University Board has adopted the annual report and annual accounts for 2025. A year initially characterised by an unexpected pensions forecast and financial restraint, but also by factors that influenced the finances in a positive direction.
The annual report and annual accounts for 2025 were adopted by the University Board on 18 February. The operational outcome was –10 million SEK, which is better than both the forecast and the budget.
Ahead of 2025, the University Board decided on a budget of –29 million SEK. This planned deficit is part of recent years’ strategic investments in assistant lecturers and additional doctoral students. These investments are financed through the university’s agency capital.
However, at the beginning of the year, a new adjusted forecast from the National Government Employee Pensions Board (SPV) indicated sharply increased pension costs. With these costs included, the university was, according to the April forecast, heading towards a deficit of –44.7 million SEK.
This led the Vice-Chancellor to decide in May on strict cost restraint. Following the first measures based on this decision, the August forecast indicated a deficit of –37.5 million SEK. Additional restraint measures were taken and, during the autumn, other factors arose that positively affected the outcome. These include lower electricity costs due to a mild early winter, lower IT costs than expected, lower inflation, an exchange rate trend favourable to the university, and surpluses within commissioned education.
The financial restraint will continue throughout 2026.
“Achieving a better result than expected is very positive and provides good conditions for tackling 2026, when our funding frame has been reduced. I am aware that the situation varies across different areas, as the changes are more significant for some than for others. But everyone has contributed with valuable efforts,” says EvaLena Östlin, Head of Finance and Planning at Karlstad University.
“Not all changes are driven by financial reasons; some are necessary regardless. We must continue to adapt our educational provision to student demand and labour market needs, increase our external revenues, and make investments for the future,” continues EvaLena Östlin, who also notes that the annual report shows that the number of students continues to grow and is now at an all-time high, prompting continued discussion about the high level of overproduction.
The annual report and financial statements will be submitted to the government on 20 February and will shortly thereafter also be available on this page on our website (in Swedish):
