Denmark had four derogations or “opt-outs” from EU cooperation. The Danish opt-outs stem from 1993 and were agreed amongst the at the time 12 Member States after the Danish population initially rejected the Maastricht Treaty in a referendum in 1992.

The four original opt-outs are outlined in the Edinburgh Agreement and concern the Monetary Union (EMU), Common Security and Defence Policy (CSDP), Justice and Home Affairs (JHA) and the Citizenship of the European Union. 

The current three opt-outs are as follows:

The Euro-opt out

Concerned whether Denmark should change its currency from the Danish kroner to Euro along with the majority of other EU states. Danes voted not to adopt the Euro. The rate of the Danish Kroner is determined by the National Bank in Denmark. Denmark does not participate in the Euro-countries economy decisions. However, Denmark does participate in some of the Euro cooperation. 

Justice and Home Affairs (JHA) concerned laws that are regulated by the EU

Legal reservations mean that Denmark will not have to abide by EU laws concerning divorce between citizens from two countries, bankruptcy, asylum standards, and legal standards that set minimum rules in civil cases. Denmark is exempt from all supranational legal policy and participates only in the field of judiciary when rules are adopted by the government. 

Citizenship in EU

It is the least relevant of the four opt-outs. Denmark voted against giving up Danish citizenship for a purely EU citizenship. Instead, the EU citizenship is an addition to an individual’s state citizenship. The opt-out on citizenship has become redundant after the adoption of the Amsterdam Treaty (1997) which clarified that EU citizenship is only supplementary, effectively nullifying Denmark’s opt-out.

Three referenda on the opt-outs

Denmark has held three referenda on the opt-outs. In 2000, the Danes had a vote on whether Denmark should participate in the common currency of Europe, the Euro. A majority of Danes voted “no.” As a result, Denmark is not part of the Euro group and has kept its currency the kroner.

In December 2015, the Danes held a referendum on the opt-out concerning Justice and Home Affairs. The vote was to determine if Denmark would maintain the reservations they held in the original opt-out or replace it with an opt-in model. Denmark voted not to modify the original opt-out.

In June 2022, the Danes held a referendum on the opt-out concerning Common Security and Defence Policy (CSDP). A majority of Danes voted “yes” to abolish the opt-out. The abolition means, that Denmark, since the 1st of July, has entered into EU’s Common Security and Defence Policy.

Denmark now has the opportunity to participate in and finance EU’s military operations. After the abolition Denmark has the right to vote in the Council of Ministers and do no longer have to hand over the presidency to another member state when defence policy is discussed