To tackle alarming literacy rates, the Danish government has decided to remove the 25% sales tax on books, one of the steepest in the world. Culture Minister Jacob Engel-Schmidt announced this policy shift, emphasizing its potential to boost book sales and improve reading comprehension among Danish teenagers, a demographic that has been showing concerning levels of reading proficiency.
Denmark Eliminates Book Tax to Address Reading Decline

Denmark Eliminates Book Tax to Address Reading Decline
In a bid to enhance literacy rates, Denmark abolishes a significant book sales tax, aiming to combat a growing reading crisis among its youth.
The decision comes with an estimated annual cost of around 330 million kroner ($50 million). Minister Engel-Schmidt expressed pride in this initiative, suggesting that substantial investment in cultural consumption is essential for nurturing the reading culture in Denmark. Recent data from the OECD indicates a troubling trend, with a quarter of 15-year-olds in Denmark struggling to understand basic texts.
As Engel-Schmidt noted, the reading crisis has worsened over recent years. Comparatively, neighboring Nordic countries present a stark contrast; Finland, Sweden, and Norway have VAT rates on books at 14%, 6%, and 0% respectively, while the UK has eliminated VAT on books entirely. Mads Rosendahl Thomsen, vice-chair of the government’s literature working group, highlighted the decline in reading and comprehension among adolescents, linking it to the myriad distractions available to them today.
While he acknowledged that scrapping the tax alone won’t completely solve the issue, he argued it would significantly enhance access to books. The government’s literature group is also exploring strategies to internationalize Danish literature, digitize the book market, and assess authors' compensation in the changing landscape.
As Engel-Schmidt noted, the reading crisis has worsened over recent years. Comparatively, neighboring Nordic countries present a stark contrast; Finland, Sweden, and Norway have VAT rates on books at 14%, 6%, and 0% respectively, while the UK has eliminated VAT on books entirely. Mads Rosendahl Thomsen, vice-chair of the government’s literature working group, highlighted the decline in reading and comprehension among adolescents, linking it to the myriad distractions available to them today.
While he acknowledged that scrapping the tax alone won’t completely solve the issue, he argued it would significantly enhance access to books. The government’s literature group is also exploring strategies to internationalize Danish literature, digitize the book market, and assess authors' compensation in the changing landscape.