From January 1, fitness memberships across Denmark will rise sharply as new EU rules impose a 25 percent sales tax on gym and training services. Neighboring Sweden escapes the hike thanks to a lower tax rate on fitness, sparking criticism in Denmark.
Higher Prices Hit Danish Gym Members
Starting next year, most Danes will pay significantly more to stay fit. The government will apply a 25 percent value-added tax to gym memberships and training services, a change driven by an EU court ruling that requires all member states to align their national laws with EU interpretations.
While Sweden faces the same EU directive, it has chosen to maintain a differentiated tax structure with just 6 percent VAT on fitness subscriptions. That means Swedes avoid the steep price increase that Danes will feel in January.
As a result, Danish fitness centers are updating their prices. For example, PureGym will raise its basic membership from 239 to 289 kroner a month, while SATS members will see increases of up to 90 kroner per month. Arca Fitness plans a 100 kroner jump for some adult members. However, LOOP Fitness has decided to absorb the new tax without changing prices, fearing customer losses.
Why Sweden Escapes the Price Shock
The key difference is that Sweden uses a system of differentiated VAT rates across products and services. Denmark, by contrast, is the only EU country that relies on a single VAT level for almost everything.
Experts say this is not a legal limitation but a political and technical choice. Adopting a system like Sweden’s would require large-scale IT and administrative changes inside the Danish tax system. According to the Ministry of Taxation, outdated infrastructure makes quick implementation difficult.
Interestingly, this discussion connects with the government’s broader debate about taxation policies, such as the ongoing initiative to reduce overall living costs through tax cuts. Similar reforms could one day make room for flexible VAT models.
Possible Tax Relief Down the Road
To balance out the higher cost of working out, the government plans to introduce a “fitness deduction” of 1,750 kroner starting in 2026. The idea is to let residents subtract part of their gym expenses from their taxes. Critics, however, are not convinced it will be enough.
Some argue that expecting citizens to apply manually for a deduction through MitID will discourage participation. Others point out that it seems inconsistent to tax exercise while having recently removed levies on candy and chocolate.
Legal Background: The EU Court Ruling
The tax change traces back to a judgment from the European Court of Justice. When any EU country’s national court faces a question about EU law, it can ask the EU court for an interpretation. Once clarified, all member states must adjust their national laws accordingly. That is what Denmark is doing now, ensuring compliance with the interpretation that fitness services count as taxable leisure activities.
Law expert Dennis Ramsdahl Jensen from Aarhus University explains that Denmark could legally set its own lower VAT for sports facilities or training services if politicians wanted it. Whether it makes financial sense is another matter, he adds. Some officials favor straightforward tax deductions over complicated rate systems.
Could Denmark Change Course?
In September, then–tax minister Rasmus Stoklund said it would take at least three years to upgrade old government systems to handle multiple VAT rates. The government has started looking into it, though no concrete plans have been announced.
Political parties remain divided. The Conservative People’s Party supports the upcoming deduction as a simpler step before exploring more complex tax reform.
Health and Cost of Living at the Center
Many gym professionals worry the new tax will lead Danes to cancel memberships, hurting both public health and the fitness industry. At the same time, customers already struggling with everyday expenses may find another price jump difficult to absorb.
Even though the upcoming changes are tied to EU law, Denmark still has room to shape its response. Whether the government uses new tools such as targeted deductions or broader income-based tax reforms could define how accessible health and wellness stay for ordinary Danes.
Sources and References
The Danish Dream: Danish Government Plans Tax Cuts to Lower Living Costs
The Danish Dream: Best Gyms in Denmark for Foreigners
TV2: Snart stiger dit fitnessabonnement markant i pris – i Sverige går de fri
