Denmark: New funding for more staff and lower parental fees in early childhood education and care
The Danish government has decided to increase funding to municipalities in order to support more staff in early childhood settings and to reduce parental fees. This measure is part of the 2026 national budget agreement. Municipalities will receive monthly payments to implement agreed changes throughout the year. The goal is more pedagogical staff and tangible cost relief for families.
Denmark is allocating a new funding package of DKK 1.7 billion to strengthen early childhood education and care (ECEC) services in 2026. The government has already transferred DKK 140 million to municipalities, with the funds targeting two key goals:
-
More pedagogical staff in day-care centres, nurseries and kindergartens
-
Lower fees for parents who use publicly subsidised ECEC services.
This initiative stems from the 2026 national budget agreement between the Government and The Conservative People’s Party (Det Konservative Folkeparti). The Ministry of Children and Education has agreed with Danish municipalities (KL) that local authorities should use the funding to reduce parental fees throughout 2026 and recruit more qualified personnel. Minister for Children and Education Mattias Tesfaye emphasised that families and institutions should benefit from these changes quickly.
The funding is being provided as a monthly general grant to municipalities throughout 2026. The purpose is to prepare for upcoming changes in legislation that will:
-
Remove pedagogical leaders from staff-to-child ratio calculations, requiring more frontline pedagogical staff
-
Lower the maximum share of parental fees charged to families
Once the legislative changes take effect on 1 January 2027, municipal estimates indicate that families could see average annual savings of around DKK 3,200 per child. The exact impact will vary based on family circumstances, including sibling discounts and municipal fee structures.
The Ministry has also released a draft amendment to the Early Childhood Education Act for public consultation. This proposal outlines:
-
A reduced parental fee rate for ECEC places
-
Greater transparency in how subsidies are calculated
-
Improved information for parents on ECEC options
-
Support for both public and private providers to ensure fair access.
These developments form part of Denmark’s broader commitment to accessible and high-quality early childhood education. Municipalities are legally required to provide subsidised ECEC for all children from six months until school entry. The new measures build on existing support structures that ensure families pay no more than a defined share of total childcare costs.
For more information: Penge til flere ansatte og lavere forældrebetaling i dagtilbud er nu sendt afsted til kommunerne – Børne- og Undervisningsministeriet.
Source: Eurydice Unit Denmark
