Denmark drops plan to tighten senior pension rules

Denmark has dropped plans to tighten its senior pension rules. The decision follows strong opposition from political parties. Employment Minister Ane Halsboe-Jørgensen announced the decision on Tuesday. The existing agreement will remain unchanged for now.

The proposed changes were part of the 2027 draft budget. The government wanted to save 200 million Danish kroner in 2028. Savings would reach 800 million Danish kroner in 2030. Under the proposal, getting a senior pension would be harder. Applicants would need to prove limited work ability across all jobs. The limit was set at 15 hours per week. Currently, rules look only at a person's most recent job.

In 2026, a single person on senior pension receives 22,053 Danish kroner monthly. The scheme started through a political deal in 2019. Party agreement rules give signatories a veto right over changes. Several parties rejected the proposed tightening. Minister Halsboe-Jørgensen stated she respects the veto rights.

Dropping the proposal creates a gap in government budget plans. Finance Minister Peter Hummelgaard must now find missing funds. He will address the shortfall during budget negotiations. Source: CPH Post.