(5) | Based on data provided by the Commission (Eurostat) in accordance with Article 14 of Regulation (EC) No 479/2009, following the notification by Denmark before 1 April 2014, and on the Commission services 2014 spring forecast, the following conclusions are justified:
— | The general government deficit stayed within the 3 %-of-GDP Treaty reference value in the period 2010-2013, except in 2012 when the balance was negatively affected by a one-off reimbursement related to pension reform in 2011. The one-off reimbursement is estimated to have weakened the fiscal balance by 1,6 % of GDP in 2012. The general government deficit amounted to 2,5 % of GDP in 2010, 1,9 % of GDP in 2011, 3,8 % of GDP in 2012 and 0,8 % of GDP in 2013. The improvement of the fiscal balance was driven by consolidation measures both on the revenue and expenditure side, in particular through restricted growth in public consumption. |
— | Denmark's 2014 convergence programme projects a general government deficit of 1,3 % of GDP in 2014 and 2,9 % of GDP in 2015. In the period 2013-2014, public finances have been affected by one-off revenues coming from the restructuring of existing capital pensions, giving the opportunity to pay off tax liability of future capital pensions at a favourable rate. This measure is estimated to boost the fiscal balance by close to 1,8 % of GDP in both years. In 2015, this measure will have no impact, leading to an expected increase in the public finance deficit. The Commission services 2014 spring forecast projects the general government deficit to reach 1,2 % of GDP in 2014 and 2,7 % of GDP in 2015. Thus, the deficit is set to remain below the 3 %-of-GDP Treaty reference value over the forecast horizon. |
— | After having improved by 0,7 % of GDP in cumulative terms between 2011 and 2013, the structural balance, that is the general government balance adjusted for the economic cycle and net of one-off and other temporary measures, is forecast to deteriorate by 0,8 % of GDP in 2014 (to – 0,2 % of GDP) and by a further 0,3 % of GDP in 2015, based on a no-policy-change assumption. |
— | The Commission services 2014 spring forecast projects the general government gross debt to decrease to 43,5 % of GDP in 2014 and to increase to 44,9 % of GDP in 2015, below the 60 %-of-GDP Treaty reference value. |
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