Denmark will abolish its 25% sales tax on books in a bold move to combat what officials call a "reading crisis" among young people. Culture Minister Jacob Engel-Schmidt announced the policy on Wednesday, hoping it will lead to more books flying off the shelves.
The tax elimination is expected to cost about 330 million kroner ($50m, £38m) annually. Denmark currently has one of the world's highest book taxes at 25%, significantly higher than neighbouring Nordic countries.
OECD data reveals that a quarter of Danish 15-year-olds cannot understand a simple text. "The reading crisis has unfortunately been spreading in recent years," Engel-Schmidt said, adding that he was "incredibly proud" of the move to scrap the tax.
Nordic comparison
Other Scandinavian countries maintain much lower book taxes despite having similar 25% standard VAT rates. Finland charges 14% VAT on books, Sweden 6%, and Norway 0%, while the UK also keeps books VAT-free.
However, The Guardian reports that Sweden's 2001 VAT reduction increased sales but mainly among existing readers rather than creating new ones. This suggests the Danish policy may face similar limitations in expanding readership.
Expert perspectives
Mads Rosendahl Thomsen, vice-chair of the government's working group on literature, described the OECD figures as "pretty shocking". He told the BBC that younger children can easily improve their reading skills "but at 15 the ability to understand a text is pretty important".
Young people struggle with reading because they have "so many options" and can be "easily distracted", Thomsen explained. He acknowledged that removing VAT on books was not a complete solution, but would make books "more accessible".
Market impact
The Guardian reports that 8.3 million books were sold in Denmark in 2023 for a population of six million. The minister emphasised that "massive money should be spent on investing in the consumption and culture" of the Danish people.
The government's working group also examined ways to export Danish literature, digitalise the book market, and address the impact on authors' pay. The initiative represents Denmark's significant cultural policy investment aimed at reversing declining literacy trends.
Sources used: "BBC", "The Guardian" Note: This article has been edited with the help of Artificial Intelligence.
