Denmark will permanently fund rental assistance program
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The Danish government will make a temporary rental assistance program permanent and increase its funding from 15 to 30 million kroner.
Minister Jacob Mark of the Socialist People’s Party (SF) explained the decision aims to reduce homelessness in Denmark by helping vulnerable citizens afford housing. The program originally began under a previous government after concerns that welfare reforms risked increasing homelessness. Previously, the temporary assistance allowed municipalities to offer support to people needing help securing housing.
Organizations had criticized the limited funding, 15 million kroner, and the fact that it only covered 38 of Denmark’s 98 municipalities. Mark stated that initial results showed a positive impact on people with low incomes and that making the program permanent will allow municipalities to better plan for it. The funding will be distributed to 33 municipalities with at least 40 homeless people, according to the latest count from the research center Vives.
Funds will be allocated based on the number of homeless people in each municipality. The government will send a bill for the program into public hearing for feedback from relevant organizations before submitting it to Parliament. The funding source for the increased assistance is still to be determined during upcoming financial negotiations, with the program expected to take effect January 1, 2027.
