Debt agency breaks record in 2023 debt recovery

In 2023, the Debt Agency in Denmark set a new record by recovering 14 billion Danish kroner in debt from citizens and businesses, surpassing the amount collected the previous year by about 1.6 billion kroner. According to Claus Hattesen Hangaard, the Deputy Director of the Debt Agency, an early intervention strategy focusing on businesses with mounting public debt contributed to this achievement. The agency lowered the debt threshold for initiating business screenings, enabling earlier recovery from business assets before bankruptcy proceedings. Screenings alone resulted in the recovery of 4.1 billion kroner. Additionally, since 2018, the Debt Agency has successfully recouped funds through wage withholdings and anticipates more repayments through political agreements. Another significant method was offsetting debts against tax refunds. As of the end of 2023, the total debt was around 160 billion kroner, with a realizable value of 44.7 billion kroner.