In Sweden, they want to halve the VAT on food, but in Denmark, IT systems are a barrier.

In Sweden, the government plans to halve the VAT on food, but in Denmark, IT systems are standing in the way

The focus has been on solutions that give people 'more breathing room in their economy in the short term', says the minister.

A Swedish family with two adults and two children could save around 4,400 Danish crowns a year on food, estimates the Swedish government.

By August Olaf Jersild ( [email protected] ) 3 minutes ago

Food prices in Denmark are high at the moment ( https://www.dr.dk/nyheder/penge/on-five-years-food-has-become-unusually-much-more-expensive-and-it-affects-some-harder-than-others ). This is not surprising.

However, this is also the case for our neighbors in Sweden.

Therefore, the Swedish government from April 1, 2026 will halve the VAT on food ( https://www.dr.dk/nyheder/seneste/svensk-regering-vil-halvere-momsen-paa-foedevarer ) in the country from 12 to 6 percent until the end of 2027.

A similar move has been made by several parties ( https://www.dr.dk/nyheder/politik/danmarks-stoerste-fagforening-presser-regeringen-saenk-momsen-paa-foedevarer-nu ) and Denmark's largest labor union, 3F ( http://www.dr.dk/nyheder/politik/danmarks-stoerste-fagforening-presser-regeringen-saenk-momsen-paa-foedevarer-nu ), is calling for it from the Danish government to bring down the high prices.

- We have long wanted Denmark to do the same, says Morten Messerschmidt, chairman of the Danish People's Party.

- We have the highest VAT on beverages and food, and at the same time we have been able to see that food prices have exploded in recent years.

In Denmark, the VAT is 25 percent as a starting point. This also applies to food.

However, this is not the case in other countries. In fact, Denmark is the only EU country that does not operate with so-called differentiated VAT rates.

The Moderate Party wants differentiated VAT rates on food. But the problem is, it takes a long time to reach the goal, says Charlotte Bagge Hansen, who is the party's finance spokesperson.

- The answer we get from the Tax Ministry in relation to reducing VAT on fruit and vegetables is that it will take two to three years to be able to move on it.

- Therefore, we have chosen to tighten some other screws that work immediately.

The government will also remove the tax on chewing gum, chocolate, and coffee ( https://www.dr.dk/nyheder/politik/regeringen-vil-fjerne-afgiften-paa-slik-chokolade-og-kaffe ). Electricity tax will almost also be removed completely. ( https://www.dr.dk/nyheder/indland/from-next-year-the-government-almost-completely-removes-electricity-tax ) Tax reductions are part of the government's financial budget proposal.

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We are looking at it, says the minister

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But why should it take two to three years if you want to adjust the VAT rate on food?

It is due to our IT systems, says Tax Minister Rasmus Stoklund (S).

- Our VAT system is not geared up at the moment to be able to have different VAT rates.

- Therefore, the initiatives we have had a focus on in the financial budget have been to ensure that people get some more breathing room in their economy in the short term, says Rasmus Stoklund to DR News.

The Tax Ministry informs in a written response that the modernization of the VAT system can be completed latest in 2028. And this depends on whether the relevant legislation is in place, which can be as early as the fall of 2026.

It is estimated that VAT revenues from the sale of food and non-alcoholic beverages amount to around 30 billion crowns in 2025.

Tax Minister Rasmus Stoklund (S) is now examining how a VAT system with differentiated VAT rates can look. (Photo: © Liselotte Sabroe, Ritzau Scanpix)

Would you like to promise the Danes that you will start this here in the Tax Ministry?

- I think then that all politicians would wish they could promise gold and green forests and distribute mild gifts, but the matter is that it must also be possible in reality.

- My focus has been to work with the rest of the government to find some solutions that work now and here. This does not change the fact that I also want to examine how one can actually do it here, says Rasmus Stoklund.

So you will now look at it and maybe make preparations to be able to have a lower VAT on food?

- Right now we are in the process of drawing up an overview of what it would require. And it is civil servants in the Tax Ministry who are already working on it.

- But it is crucial for me that we do something that means something for people's economy here in the short term.

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