In Finland, security is still considered as a very small branch of the service sector industry, and therefore it is very difficult to obtain accurate information and statistics. The estimated turnover of the security and safety industry in Finland in 2006 was over $1 billion. The branch has grown constantly in the last ten years. The main reason to the continuous increase in the private security demand is the Finnish government’s cutbacks to law enforcement funding. Another significant reason for growth has been outsourcing; companies operating in commerce and trade, the manufacturing industry, and public government have been eager to subcontract their security needs.
The security industry market is Finland is very clustered, and dominated by a couple of large, multinational companies who offer tailor-made solutions from a wide range of services to both corporate and private customers. The companies are well established here and have been in the market for a long time. For example Group 4 Securicor (former Falck Security Oy) has been operating in the security industry in Finland since 1922. Local subsidiaries of large international companies have a strong hold of the market in most sub-sectors. The biggest security companies represent only 2,2 percent of the companies in the industry, but employ 77 percent of the industry's personnel, and generate over 70 percent of the Finnish security and safety industry turnover.
Guarding services, structural security products, and information security products and services are the largest sub-sectors. The largest industries contracting security services are the manufacturing industry, real estate and construction, and the trade industry.
There are no trade barriers or market impediments for safety and security equipment. The customs duty on safety and security equipment imported from outside of the EU countries varies between 2.7 percent to 4.9 percent. Finland’s Value Added Tax of 22 percent is assessed on all imported goods. Products that are imported or exported within the EU must carry the CE marking. According to local sources, U.S. companies, and especially U.S. security products, enjoy a good reputation in the Finnish security market and are considered to be of very high quality. On the other hand, American products are also seen as expensive and not necessarily up to EU product standards.
