Copenhagen experienced serious financial problems in the 1980s and recovered only by selling off parts of the municipality’s land and social housing properties to private investors. These actions along with rising property and land prices have been the cause of problems for the city’s administration ever since. Their challenge is about making such an expensive city a place where everyone has the opportunity to settle.
Today the living standard in Copenhagen is high. The city has twice been ranked the “Most Liveable City” by Monocle Magazine. Green areas, good public transportation and urban planning favouring pedestrian and cycling environments are among the reasons why Copenhagen is a convenient and pleasant city to live in.
Social segregation is one of the biggest challenges Copenhagen faces. As it is one of the most expensive cities to live in, low-income households must seek the most affordable parts of the city. Affluent households are concentrated in central parts of the city or in family-size apartments along the former industrial harbour. Ethnic minorities constitute approximately 20% of the population in Copenhagen and is over-represented in deprived areas.