Three out of four (75 per cent) new Danish pensioners receive payments from their supplementary pension savings, according to an analysis by Insurance and Pension Denmark (I&P Denmark), which helps strengthen their income as pensioners.

Over the past three decades, the share of new old-age pensioners with monthly payments from supplementary pension savings has increased from 37 per cent in 1995 to 76 per cent in 2024.

I&P Denmark head of pensions, Lotte Katrine Ravn, said: "In recent years, we have experienced a significant increase in the proportion of new pensioners who, in addition to the public state pension, have monthly payments from their own pension.

"This reflects the fact that the expansion of our occupational pension system is now having a serious impact.”

I&P Denmark said the development explains why pensioners are among those in the population who have had the greatest increase in income since the year 2000.

Furthermore, calculations by I&P Denmark, based on figures from Statistics Denmark, showed that pensioners have had a greater increase in income before tax since 2000 than many other groups in society.

Pensioners' income has grown by 3.2 per cent per year, while the entire population has had an average income increase of 2.8 per cent per year.

However, I&P Denmark cautioned that there are still groups of people for whom monthly payments from labour market pensions are limited.

Katrine Ravn, said:"There are groups that do not save much for retirement. These are especially self-employed and people with little or no connection to the labour market. However, many self-employed people save in other ways, and from 2020, recipients of transfer income have paid into a new mandatory pension savings with ATP.”

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