Norway’s welfare crisis: 69% of welfare payments goes to migrants, fueling fears of system collapse

In Norway, a striking 69% of all social assistance payments now go to foreign-born individuals, up from 58% just two years ago. This sharp increase highlights a growing concern over how immigration is impacting the country’s welfare system.

Between 2009 and 2019, the number of immigrants receiving social assistance rose by over 70%, with 17% of the population claiming 58% of the benefits. By 2023, foreign-born individuals received 6.7 billion out of the total 9.7 billion Norwegian kroner in social assistance, prompting concerns from politicians like Conservative immigration spokesperson Mari Holm Lønseth. She warns that this trend reflects a failure to integrate immigrants into the workforce, with many still reliant on state support.

A large part of the increase in foreign-born recipients comes from the influx of nearly 11,000 Ukrainians in 2023, a group that accounted for the bulk of the rise in social assistance claims among foreign-born individuals. Meanwhile, social assistance among Norwegian-born citizens has been steadily decreasing.

Economist Assar Lindbeck, who previously warned about the challenges of mass immigration on welfare states, argues that Sweden’s experience proves the problem. He contends that a welfare state cannot support large numbers of low-skilled immigrants without facing significant social and economic challenges. Lindbeck asserts that countries like Sweden and Norway must reconsider their immigration policies, suggesting that without restrictions, the welfare system could be at risk of collapse.

Lindbeck also emphasizes that while humanitarian concerns are important, the welfare system must be protected from the strain caused by mass immigration, especially from low-skilled groups. His solution is for countries to implement more restrictive immigration policies to ensure the sustainability of their welfare systems.

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