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Government proposes higher early retirement benefit and cancels age-limit rise

The cabinet plans to raise the monthly Arne-pension by 3,095 kroner and scrap the planned increase of the early-retirement age to 65.

Denmark's government intends to enhance the Arne-pension scheme by increasing the monthly payment by 3,095 kroner. Employment Minister Ane Halsboe-Jørgensen emphasized that the change should encourage more workers to consider early retirement when needed. A summer 2025 forecast from the Finance and Employment ministries projects around 6,800 beneficiaries in 2030, a notable decline from earlier February projections.

Additionally, the cabinet will drop the planned raise of the early-retirement age to 65, a move expected to result in about 7,400 extra full-year recipients by 2030. The measures were outlined in the coalition's governing programme and will be presented in the forthcoming finance bill for parliamentary discussion.

Why it matters

The changes could affect thousands of workers' retirement options and influence Denmark's labor market.

In this story

Arne-pensionearly retirementbenefit increasefinance billlabor marketgovernment proposal
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