The article discusses the role of Scandinavian local governments in providing welfare state services. Wide-ranging social care services are probably the most distinctive feature of the Scandinavian welfare societies. These services, in the main, have been financed publicly and provided by local government. The traditional principle of Scandinavian local self-government, requiring local autonomy, and the goal of a welfare state providing a uniformly equal service to all is, however, a contradiction in terms. How have the Scandinavian countries dealt with this dilemma? This question is discussed by an examination of the day-care service policies in the four Scandinavian countries. Two distinct Scandinavian policy-models seem to emerge, one that primarily respects the local discretion of municipalities and the other that favours a more centralised approach. Norway represents the local autonomy model, Sweden and Finland exemplify the centrally directed model, while Denmark displays features from both models. During the 1990s, the main responsibility for social services has been decentralized also in Sweden and Finland. At the same time, Scandinavian local government action has turned to a more liberal direction.