The Ministry of Transport and Communications pauses preparations for STT state aid

The Ministry of Transport and Communications pauses preparations for STT state aid

On 30 September 2026, the Finnish News Agency STT released a statement that it intends to significantly restructure its operation, which may lead to the company closing down its current business. The Ministry of Transport and Communications is pausing the preparations for the STT state aid package until STT owners decide on the company's future.

The government has taken what measures it has available to ensure that STT can continue its operations. The Orpo Government is committed to a EUR 1.05 million state aid package.

"We have been aware of STT's financial and operational difficulties for a long time, and this decision was not a surprise. The government has been ready to provide moderate support for STT to enable the company to develop and continue to operate. However, the owners have not been able to agree on a direction for the company, and the market has not shown sufficient demand for its services", according to Minister of Transport and Communications Lulu Ranne.

"STT's work is rich in tradition, and it is a shame that this tradition might end. It unfortunately looks like STT has been unable to respond to the transformation of the media sector", continues minister Ranne.

STT also stated that it is initiating change negotiations for its entire personnel. STT's news and photograph business has been unprofitable for a long time. The government has also provided them prior support. In 2018, STT received EUR 1.5 million in state aid.

"Now, we are imposing a time-out on preparing the new aid package until the STT owners have made a final decision on continuing the business. State subsidies cannot be given to a business that is not financially sustainable", says minister Ranne.

Transformation of the media sector as the backdrop

The transformation of the media sector has had a significant impact on the operating conditions of Finnish news media. It is also what's behind STT's situation.

The way people consume media are in constant flux, and advertising revenue is flowing to international platforms. Finnish media companies are trying to compete through cost-cutting and a focus on unique, local content.

"Finland's media sector is important and one we must defend. All of Finland will continue to need a wide and varied news media. However, our media sector cannot base its competitiveness on significant or long-term state aid systems - it needs true, market-based demand and modern business practices", according to minister Ranne.

Enquiries:
Aino Sipari, Director of Unit, tel. +358 295 342 011, [email protected]