In a new initiative to optimize support for the country’s most vulnerable citizens, the government and the Danish Association of Local Authorities (KL) have entered into a sub-agreement on municipalities’ finances for 2025. The agreement aims to find more funds and at the same time reduce expenses by ensuring that vulnerable citizens receive the correct residential offer the first time. Minister for Social Affairs and the Interior Pernille Rosenkrantz-Theil (S) points out that the current frameworks are often insufficient. “For the most vulnerable citizens, not receiving the right offer the first time can be traumatizing. It is not only expensive economically, but it is also a human cost,” she explains.
According to the agreement, the goal is to reduce repeated misplacements, which can lead to further problems and increased costs for both the individual and society. Over the past five years, municipalities have experienced an increase in expenses for vulnerable citizens of around 6.3 billion Danish Kroner. Despite the clear intention to increase efficiency and reduce costs, it is still unclear how many extra funds municipalities will receive for this purpose. “We will not put a specific amount on it yet,” says Martin Damm (V), chairman of KL and mayor of Kalundborg.
This new economic strategy is part of a broader effort to improve conditions for more than 194,000 children, young people, and adults with physical or mental disabilities that municipalities support annually.