Denmark

Denmark is in the top group internationally (rank 3) with regard to vertical accountability.

All citizens aged 18 or older can vote in national elections, and any eligible voter can run for parliament. Political parties play a central role in selecting candidates. Independent candidates are allowed, but have difficulties winning. Parties typically need at least 2% of the vote to enter parliament.

Political parties receive substantial public funding, and transparency rules regarding donations are strict. Elections are held at least every four years, though the prime minister can call one at any time. There have been no reports of irregularities or disputes over results.

Polarization is rising, but antidemocratic movements remain on the fringe. Parliamentary cooperation is common, and legislation typically passes with large majorities. The Access to Public Administration Files Act allows public access to government documents, with some exceptions

Denmark falls into the top group internationally (rank 2) in the category of diagonal accountability.

Freedom of speech and freedom of the press are strongly protected, with limits carved out for libel and racism. The media is independent of government influence. Newspapers often lean conservative or liberal, but provide balanced coverage. Public media are required to ensure diversity and fairness in their programming.

Civil society organizations are influential, often with ties to political parties. Trade unions, and employers regularly collaborate with the government, providing information and contributing to policy discussions through both formal and informal channels. Tripartite negotiations are often used to resolve labor market issues.

Welfare-focused associations are active in public debates and policy formation. Environmental groups are also consulted via “green” tripartite negotiations aimed at finding solutions that support climate goals and the green transition while maintaining competitiveness.

In the category of horizonal accountability, Denmark falls into the top group (rank 3).

The ombudsman and the National Audit Office are both independent and respected. The Danish Data Protection Agency enforces data protection rules, and can issue fines or demand that specific programs be terminated.

The judiciary is independent of the executive, and has the power to review government actions. There is no dedicated constitutional court; instead, the Supreme Court handles civil and criminal appellate cases. Civil rights are broadly protected. The country has been at the forefront of protecting sexual minorities’ rights. Immigration policies have been tightened in recent years.

Denmark ranks among the least corrupt countries, thanks to strong norms against corruption and the threat of media exposure help maintain this standing. The parliament has sufficient resources and powers to monitor the executive and help shape policy.

Denmark falls into the top group internationally (rank 3) in the category of coordination.

The Prime Minister’s Office has been expanded in recent years, and a Political Secretariat has been created to improve coordination among ministers. Internal policy coordination occurs through an Economic Committee and a Coordination Committee, as well as through a newer Green Committee tasked with overseeing cross-ministerial environmental policies.

The tradition of ministerial rule means that each minister is in charge of a specific area, but the cabinet operates as a collective unit. Governments are often minority or coalition-based, and thus rely on informal contact and coordination, including with opposition parties and interest groups.

The constitution mandates delegation to local units, allowing municipalities to manage their own affairs under state supervision. This creates some tension between local autonomy and the goal of uniform standards, but the central government uses benchmarks to monitor local performance. Cooperation between the state, regions and municipalities is institutionalized.

Denmark is one of the top performers internationally (rank 4) with respect to consensus-building.

Commissions and expert committees play a crucial role in policymaking, reflecting a consensus-based tradition. While the political administration includes experts with PhDs, policymakers often rely on advisory councils for most policy areas. This includes trade unions and business organizations, which are integral to the policy process.

Civil organizations, especially those related to social welfare, are also routinely included in the policymaking process. This tradition is not as strong for environmental policymaking, but groups in this sector also have an impact. Agricultural organizations are particularly vocal.

The Agency for Digital Government oversees the areas of data and IT security. Various open data portals, such as those from Statistics Denmark, provide citizens and companies with access to government data. The parliament has also developed an API providing public access to meeting minutes.

Denmark is the SGI 2024’s top performer (rank 1) in the category of sensemaking.

Fiscal policy is rule-based, focusing on medium- and long-term sustainability of public finances. The Ministry of Finance plays a key role in strategic planning, creating plans with 10-year horizons. These plans emphasize the financial sustainability of public finances and the welfare model.

Regulatory impact assessments are mandatory for all proposed legislation and regulations. They analyze economic, administrative and environmental consequences for governments, businesses, and the public, with a focus on sustainability. RIAs are publicly available, and policies are often adjusted based on their findings, depending on the level of public attention.

Denmark has a tradition of quantifying both the short- and long-term effects of economic policies through various models. While there is no legal requirement for ex post evaluations of public policies, these assessments do occur through numerous formal and informal channels.

Denmark is the SGI 2024’s top performer (rank 1) in the category of economic sustainability.

A national circular economy plan is in place, but most elements are voluntary. A Climate Law mandates that the country meet ambitious emissions-reductions goals. However, experts say the country is unlikely to meet the 2025 interim targets, especially due to the lack of a plan for carbon reductions in the agricultural sector.

The labor market is adaptive, with very low unemployment rates and typically short unemployment spells. The “flexicurity” model includes flexible hiring and firing rules, a generous social safety net, and active labor market policies. The social safety net covers the unemployed through voluntary unemployment insurance or social assistance.

Tax revenue as a share of GDP is high, but recent reforms have broadened the tax base and lowered marginal rates, except for the very rich. The structure adequately finances the public sector despite the extensive welfare state. The tax system is highly redistributive, and subsidies and deductibles are used to internalize both positive and negative externalities.

Denmark falls into the top group internationally (rank 2) with regard to social sustainability.

Public spending on education is very high by cross-OECD standards. Concerns that too few students pursue vocational training have led the government to tighten access to university education. Freely accessible education contributes to high rates of social mobility.

The welfare state provides a generous safety net, resulting in very low poverty rates and income inequality. Only about 3.7% of the population lives below the relative poverty line. Citizens have universal entitlement to healthcare. Reforms have concentrated services into centralized hospitals, but local healthcare centers are also beginning to be expected.

Denmark is one of the world’s most gender-equal countries, though a small gender pay gap persists. Women’s employment rates are very high, and a significant majority of children attend daycare facilities. Pension reforms have responded to population aging. Immigration rules have tightened since 2002, with broad political support for restrictive measures.

Denmark performs well in international comparison (rank 6) with regard to environmental sustainability.

The 2020 Climate Law commits the country to cutting greenhouse gas emissions by 70% from 1990 levels, and to achieving climate neutrality by 2050. Experts say the country is unlikely to meet the interim 2025 goals, with further uncertainty regarding the state’s legal accountability if this proves accurate. Critics say current plans rely too much on unproven technologies.

The country has a strong legal framework for addressing pollution and associated health risks, with stringent environmental protection measures. Agricultural pollution is a growing concern, as excessive nutrients are harming water bodies and threatening fish stocks and the water supply.

In line with the EU’s biodiversity strategy, Denmark has committed to protecting 30% of its land and sea territory, with a third of this area to receive strict protection. The government has also committed to promoting the green transition through its foreign aid strategy.