The government of Denmark has recently proposed its budget for 2025, which includes significant investments aimed at supporting the green transition. A total of 1.7 billion Danish kroner (approximately 250 million USD) is earmarked for the so-called green tripartite cooperation involving the government and several interest organizations such as Agriculture & Food (Landbrug & Fødevarer) and the Danish Society for Nature Conservation (Danmarks Naturfredningsforening). These substantial investments are intended to facilitate the transformation of Denmark’s land use and its food and agricultural production.
“We are putting action behind our words,” said Finance Minister Nicolai Wammen (Socialdemokratiet), emphasizing that the initiative represents a positive beginning for a long-term commitment to greener solutions. In addition to the initial investment in 2025, the government plans to allocate an additional 900 million kroner annually from 2026 to 2028 for the same purposes.
While the specific applications of the funds within the green tripartite framework have yet to be defined, the focus will be on both climate goals and economic sustainability. The budget also signals the establishment of a new ministry for green tripartite initiatives, led by former Minister of Taxation Jeppe Bruus (Socialdemokratiet).
The proposed budget, titled “A Safer, Greener, and Richer Denmark,” also guarantees economic and social support in other areas. It allocates 500 million kroner per year from 2025 to 2028 to enhance safety, as well as a negotiation reserve of an additional 500 million kroner for green transition and welfare. Furthermore, the proposal introduces a new framework for social policy and funding aimed at reducing the government’s employment by 1,000 full-time equivalents.
For young people who are neither employed nor in education, 325 million kroner has been set aside. Additionally, the government plans to spend 300 million kroner on a green tradesman tax deduction and 100 million kroner for an increased service deduction. These initiatives are designed to boost employment and foster a greener housing sector.
Minister Wammen pointed out that with low unemployment and inflation, the current situation is favorable for taking steps toward greater sustainability without jeopardizing economic stability. He stressed the importance of channeling funds to the areas that matter most to Danes: the green transition, welfare, safety, and security.
During the presentation of the proposed budget at the Ministry of Finance, Wammen reiterated that this budget is aimed at what is most significant for the Danish people. The government hopes that these substantial investments will guide Denmark toward a more sustainable and secure future.