Driving Schools Struggle with Financial Problems - "It's Not Possible to Live Like This," Says Entrepreneur
Private driving schools in Finland are facing severe financial issues, with many forced to close or significantly reduce their services.
Pekka Moilanen, a driving school entrepreneur from Lempäälä, Finland, has expressed that operating a private driving school has become financially unviable. He has been forced to minimize his company's expenses, leading him to give up his premises and lay off an instructor. After over 30 years in the profession, Moilanen is now seeking employment elsewhere, while he only offers training for professional drivers as his school can no longer provide instruction for personal vehicles, scooters, or motorcycles due to economic strains.
The situation is dire for independent driving schools in Finland, with the number of non-chain institutions decreasing from around 400 to below 250 in less than a decade. Specifically, in the Tampere region, at least 11 private driving schools have ceased operations since a reform in the driving license law came into effect in 2018. This reform is believed to have had a significant impact on the viability of many independent schools, leading to a sharp decline in their numbers, with some of those remaining choosing to sell their businesses to larger chains.
With such a drastic reduction in the number of independent driving schools, the future looks uncertain, with predictions of more bankruptcies and retirements in the sector. The combination of dwindling student numbers and operational challenges creates a precarious situation for driving school owners across the country, highlighting a larger issue within the industry that may require a reevaluation of regulations and support to sustain these essential educational institutions in Finland.