At the end of every summer, the government presents the budget proposal for next year. Until December, the government will negotiate with the other parties in order to obtain a wide-majority in the Parliament. Right before Christmas, we will know the final result of the negotiations. What is negotiated? Our tax money and how to use them.
Compared to 2021, the government wants to spend less money. Finance minister, Nicolai Wammen said that they “will remove the foot from the accelerator so we avoid an overheating of the economy”. Why? Because the Danish economy is booming, with the highest growth in 15 years (3,8% GDP growth 2021) and we are having a labor shortage in the private sector. Therefore, not the best time to hire more people within the public sector.
Priorities:
The government will spend 35 million dkk to increase the labor supply (get more people into jobs), with focus on the 45,000 young unemployed and the women with another ethnic background. Another main focus is the development of the rural area (new local police stations; new education institutions; local hospitals; better access to welfare) and the public health of the people living in the capital (more sports facilities and nature spaces).
- 840 million dkk will be spent on social initiatives for people with disabilities, homeless, elderly, poor children and to fight human trafficking.
- 240 million dkk for the Danish Prison and Probation service to hire more prison guards and other initiatives.
- 10 million dkk for a help hotline for digital identity theft.
- 32 million dkk for a free vaccine against invasive pneumococcal disease (IPS)
- 4 billion dkk in reserve to fight the pandemic (in case it gets bad again)
