4.2 Comparing decision-making processes
In Denmark, Iceland, and Sweden, decision-making follows a two-stage model in which civil servants prepare cases while specialised boards or councils adopt the formal decisions. This arrangement creates a distinct separation between political responsibility, administrative preparation, and final decision-making.
In Finland, particularly regarding minority-language subsidies, decisions are formally taken by the government or within ministries. The formal proximity to political authority is therefore greater, although this is partly mitigated by administrative routines and statutory consultation requirements. Decisions concerning the temporary distribution subsidy scheme are made by Traficom.
In Norway, the responsible ministry plays a somewhat more active role than in Denmark, Iceland, and Sweden. This involvement is, however, confined to system-level steering, such as setting financial frameworks and subsidy rates, rather than to individual allocation decisions. Individual subsidy decisions are taken within an administrative authority and are supported by advisory committees and external entities.
These differences illustrate that the arm’s length principle is not realised solely through the identity of the decision-maker, but through the extent to which political steering is restricted to framework-setting and system-level governance.
The distinctions outlined on both the organisational and decision-making levels are, to a considerable degree, rooted in constitutional variations between the countries. In short, the West Nordic systems of Denmark, Iceland, and Norway feature a traditionally hierarchical organisation of administrative authorities under the relevant ministries, although there are examples of independent administrative bodies. By contrast, the East Nordic systems of Finland and Sweden are characterised by a long-standing constitutional tradition of organising state administration with a considerable degree of independence from the governmental level. This implies that governments and ministers in Denmark, Iceland, and Norway have broader opportunities to influence the activities and decision-making of individual authorities than in Finland and Sweden (Wenander, 2022).
The arm’s length principle can thus, in a sense, be considered compensation for a different constitutional architecture: Where ministerial steering powers are structurally broader, stronger organisational insulation tends to be introduced.