Denmark Eliminates Book Tax in Bold Move to Enhance Literacy

In a significant cultural initiative, Denmark removes a hefty tax on books, aiming to revive reading habits among its citizens.

In an unprecedented move to address what has been termed a "reading crisis," the Danish government has announced the removal of a 25% sales tax on books. This decision comes in response to alarming statistics showing that nearly a quarter of the nation's 15-year-olds are unable to comprehend basic texts. Culture Minister Jacob Engel-Schmidt expressed optimism that abolishing the tax will result in increased book sales and a resurgence of reading culture. The financial implication of this policy change is projected to cost approximately 330 million kroner (about $50 million or £38 million) annually.

Highlighting a troubling trend, Engel-Schmidt noted that the reading crisis has escalated in recent years, prompting the government to invest heavily in cultural consumption. He cited comparably lower VAT rates in neighboring Nordic countries—including Finland, Sweden, and Norway—as evidence of a more beneficial approach towards book accessibility, where rates stand at 14%, 6%, and 0%, respectively. Unlike Denmark, the UK also exempts books from VAT entirely.

Commenting on the deteriorating reading skills among youth, Mads Rosendahl Thomsen, vice-chair of the government’s literary oversight group, indicated that while younger children can significantly improve their reading abilities, comprehension at the age of 15 is crucial. He acknowledged the "shocking" results of OECD research that reveal young people are easily diverted by distractions. Although Thomsen doesn't view the elimination of the VAT as a standalone solution, he believes it will certainly facilitate easier access to books. Additionally, the working group is evaluating opportunities for exporting Danish literature and the digitalization of the literary market, while considering its potential effects on authors’ remuneration.