Families in Denmark face ongoing financial pressures despite declining energy prices and inflation challenges

Despite declining energy prices and lower inflation, many economically distressed families with children continue to face financial pressures. A recent study conducted by Rambøll for Egmont’s Fund Secretariat in collaboration with Danish People’s Aid highlights the ongoing challenges faced by these families. The research compares the so-called basic deprivations in financially strained households with children to a similar study from 2022.

The findings reveal that 95 percent of the families report their financial situation has remained unchanged or worsened over the past year. Many struggle to afford essential items such as children’s clothing, medicine, and leisure activities.

The study, based on surveys from 3,601 families with at least one unemployed parent or reliant on state benefits, indicates that these families have sought assistance from Danish People’s Aid in the past three years. Notably, 60 percent of the families admitted their children had gone without necessary clothing or shoes within the last three months due to financial constraints. Additionally, 76 percent of these families indicated their children had missed at least three social activities during the same period, such as inviting friends over or attending school trips.

More than 2,000 families reported having children who require prescribed medication, with 21 percent having to forgo it due to cost. In four out of five families, children have skipped visits to the cinema, museums, and vacations over the past three months.

Heidi Sørensen, director of Egmont’s Fund Secretariat, explained that children are coping with economic stress by not asking for things they know their families cannot afford. They often withdraw from activities, create excuses not to participate, or suggest cheaper alternatives to avoid burdening their parents. In 2022, statistics indicated that 47,200 children in Denmark were living in relative poverty.