Denmark proposes halving food VAT and scrapping tax on fruit and vegetables

Denmark’s government plans to cut the food value‑added tax from 25 % to 12.5 % and eliminate the VAT on fruit and vegetables, with the reform expected to be introduced within a few years. The proposal is presented as a public‑health measure; researchers at the University of Copenhagen say it could bring significant health benefits. Swedish researchers have also highlighted the potential impact, and Sweden’s own food‑VAT review is under way.

Swedish agriculture minister Peter Kullgren expressed skepticism about the Danish plan, warning that a differentiated tax system could increase administrative complexity. In Denmark, some commentators argue that the lower VAT would mainly benefit higher‑income households and suggest the saved revenue be used for broader social support instead of tax cuts.