Denmark to hold second euro referendum

Following the re-election of Anders Fogh Rasmussen for a third term as Danish prime minister, Danes are set to vote on their country’s opt-out from a number of EU policies and, most notably, the adoption of the euro, which was dismissed in a 2000 referendum.

“The time is approaching. It is the government’s view that the people in this parliamentary term should have the opportunity to take a stance on the Danish EU opt-outs,” Rasmussen told journalists in Copenhagen on Thursday, 22 November. The re-elected prime minister added: “It is the government’s view that the opt-outs damage Danish interests.” 

Danes initially declined to adopt the Maastricht Treaty in a 1992 referendum. However, the country joined the treaty in 1993 after negotiating an opt-out from a number of EU policies, namely justice and home affairs, defence co-operation and European Monetary Union. In a separate ballot in 2000, Danes rejected adopting the euro. 

Rasmussen, whose coalition includes his own liberal Venstre party and the Conservatives, with support from the far-right Danish People’s Party and a party from the Färöe islands, won the elections with a tight majority of 90 seats in the 179-strong Danish Parliament. Nevertheless, he has declared himself confident that he could convince Danes to vote ‘yes’ on the Lisbon Treaty. 

According to the Danish constitution, a referendum must take place if a a legal review establishes that sovereignty is transferred from Denmark to the EU. Rasmussen said that he was aiming for quick ratification and that his government would commission further expert studies on the economic effects of the opt-outs. The exemptions also mean that Denmark does not have a say in the policy areas concerned. 

Analysts say that Denmark’s adoption of the euro would have little to no economic impact. The Danish crown is tied to the euro in a very narrow band, which means that interest rates are effectively set by the European Central Bank. 

While only two parties in the Copenhagen Parliament, jointly representing around 17% of MPs, are openly opposed to further EU integration, the public referendum is set to become a neck-and-neck race. 

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