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COST OF LIVING

Rule change: Can I get free legal aid in Norway in 2023?

The Norwegian government is taking steps to ensure that the country's entire population can access the court system. Here are the updates on free legal aid rules.

Published: 2 January 2023 15:33 CET
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The government has decided to increase the income limits for being granted free legal aid in Norway.

In the last fifteen years, it has become increasingly expensive to take a case to court in the country, and the income limit for getting free legal aid has not been adjusted since 2009.

However, from January 1st, 2023, the income limits for being granted free legal aid will be raised to 350,000 kroner for single persons and 540,000 kroner for spouses/couples.

As the government points out on its official website, this change is important as it ensures the necessary legal assistance for those who do not have the financial means to cover these expenses themselves.

“The income limits for being granted free legal aid were raised by around 30 percent from January 1st, 2022. Now we are raising the income limits further, by around 10 percent.

“Many people are experiencing a demanding increase in costs. Taking a case to court can be a big burden on your finances. Therefore, the government wants to ensure that more of those who have the least receive legal aid,” Minister of Justice and Emergency Emilie Enger Mehl said in late December 2022.

In addition, the asset limit is being increased by a full 50 percent to 150,000 kroner for both singles and spouses/couples.

What can you get legal aid for?

Free legal aid is a support measure for legal assistance given in matters of great personal and welfare importance to the individual, such as parental disputes, dismissal from employment, and appeals in social security matters.

The Minister of Justice and Emergency Preparedness wants everyone who requires such support to have the opportunity to go to the courts to resolve conflicts.

“Free legal aid is provided after a needs evaluation, which means that if you have income and assets below certain limits, you will receive financial support for legal aid. By raising the limits, more people will now be able to take care of their need for legal aid,” Enger Mehl explained.

In some cases, you can get free legal aid without the evaluation, regardless of your income or assets. This applies, among other things, to child protection cases and immigration cases.

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ECONOMY

‘Turning point’: What the future holds for Norway’s economy

The standstill in Norway's economy may soon be at an end, according to a new report from Norway's national data agency. The agency isn't alone in its optimistic outlook, as the country's PM has said the country is at a 'turning point'.

Published: 14 June 2024 11:19 CEST
'Turning point': What the future holds for Norway's economy

Norway’s economy should begin to pick up in the coming months and years after a period of stagnation, according to a national data agency, Statistics Norway, in a forecast on the Norwegian economy.

“With lower interest rates and clear wage growth, household consumption will increase. Economic activity will also pick up as a result of increased public consumption and an increase in housing investment,” said Thomas von Brasch, head of research at Statistics Norway.

The stagnation would likely continue for the rest of 2024 before picking up in 2025 and returning to a more neutral position in 2026.

“The standstill in the Norwegian economy is soon over,” von Brasch said.

After a period of high inflation, peaking at 7.5 percent in October 2022, price rises have begun to moderate. During this period, inflation in Norway was at its highest level since the 1980s.

This is good news for those hoping for lower interest rates, as the central bank had raised rates rapidly to try and control inflation and get it towards a target of two percent.

“Lower inflation at our trading partners will cause inflation here at home to continue to fall. Reduced interest rates internationally also contribute to the policy rate being gradually cut in Norway,” von Brasch said.

After the latest inflation figures for Norway were released, many economists predicted that the first cut would arrive around December. Between May 2023 and May 2024, inflation was measured at 3 percent.

READ ALSO: What Norway’s latest inflation figures mean for your finances

Market rates, the interest rates consumers pay, are expected to fall from around 4.7 percent this year, to 4 percent next year, and 3.5 percent the year after.

Norway’s PM, Jonas Gahr Støre, said the Norwegian economy was at a “turning point”, with the future looking much more positive for those in Norway.

“It is good news for people’s finances and clearly confirms that we are at a turning point in the economy where people can get better advice. Statistics Norway estimates that price growth will continue downward, so interest rates can eventually be lowered. They also expect increased purchasing power for people this year and in the following years. The government aims for people to get better advice,” PM Jonas Gahr Støre told Norwegian newswire NTB.

One factor that had the researchers at Statistics Norway more uncertain was the development of the Norwegian krone.

“The development in the krone exchange rate is important for inflation, among other things through import prices measured in Norwegian kroner. There is great uncertainty surrounding exchange rate movements,” the report read.

However, it added that keeping exchange rates the same in the coming years could be considered a positive development. This may disappoint those who have been negatively affected by a weakened krone.

Still, there was much better news when it comes to wages. Over the past eight years wages have barely grown in real terms, meaning price increases have outpaced wages. Workers in Norway can look forward to real wage increases of around 1.5 percent until 2027.

Unemployment would rise slightly in the coming years, though, from 4 percent currently to 4.2 percent in 2025.

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