Viking sperm-sales are plummeting right now

The other banking crisis.

Travelling on the London Underground in recent years you have most likely seen pictures of cute, blonde babies along with the slogan “Congratulations, it’s a Viking!” plastered across the ad. The advertisement is for the Danish sperm bank Cryos, the biggest of its kind in the world.

Cryos, along with other Danish sperm banks, has been marketing Danish sperm heavily across the UK, and demand for the popular Viking “donations”, has been on the rise. The amount of UK women buying Danish sperm has grown by about 40 per cent every year since 2005, according to one Danish insemination clinic and Cryos estimates that about 10 per cent of their sperm is exported to UK clients and clinics.

A shortage of sperm elsewhere, combined with differing rules about donor anonymity from country to country, means that Denmark, which can offer both anonymous and non-anonymous sperm and can deliver it directly to individuals across the EU rather than simply to licensed clinics, is an increasingly popular destination for women seeking to become pregnant.

Since the UK made it illegal to donate sperm anonymously in 2005, the shortage of British sperm has been daunting, forcing more and more British women to look towards other countries. Thanks to its liberal laws on sperm donation, Denmark has enjoyed the brunt of this demand.

But recent events might put a stop to the Viking baby invasion. Danish laws on donation have recently been tightened after a donor was found to have passed on a rare genetic condition to at least five of the 43 babies he has fathered. Now, potential donors are interviewed, their health evaluated and their history of disease is checked – making it harder to just walk in and donate.

Far more critical is the high-profile court case, where a UK mother bought DIY sperm from Cryos and proceeded to impregnate her 14-year old adoptive daughter with the sperm. After a miscarriage, the daughter gave birth to a donor-child at the age of 16. Now the EU and Danish politicians are looking to reform the Danish laws on sperm-donation and sales, making it harder for potential mothers and fathers to acquire the popular Viking-sperm. The question is now, whether the sperm banks have a responsibility to ensure that sperm sold to individuals isn’t misused. When potential parents buy sperm through an insemination clinic, they are screened and questioned on their parenting skills – individuals buying DIY sperm are not put through the same process.

But what will this do the UK demand for Viking sperm? Marketing in London has been put on hold temporarily as the court case runs its course and sperm-sales are encountering their first slump in over seven years. In the meantime, it is clear that Danish politicians are moving towards more regulation of the Danish sperm industry. With a potential sperm-draught ahead, it might be worth considering a liberalisation of UK laws. If not for reproductive reasons, then consider the economic potential. Sperm-tourism has been on a steady rise in Denmark for the past ten years, resulting in considerable revenue growth for sperm banks and insemination clinics. Cryos, for instance, doubled their revenue within their first five years. In a time of austerity, isn’t any market with high demand worth delving into?

Can't be good for them. Photograph: Getty Images

Sandra Kilhof Nielsen is a reporter for Retail Banker International, Cards International & Electronic Payments International.


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Why relations between Theresa May and Philip Hammond became tense so quickly

The political imperative of controlling immigration is clashing with the economic imperative of maintaining growth. 

There is no relationship in government more important than that between the prime minister and the chancellor. When Theresa May entered No.10, she chose Philip Hammond, a dependable technocrat and long-standing ally who she had known since Oxford University. 

But relations between the pair have proved far tenser than anticipated. On Wednesday, Hammond suggested that students could be excluded from the net migration target. "We are having conversations within government about the most appropriate way to record and address net migration," he told the Treasury select committee. The Chancellor, in common with many others, has long regarded the inclusion of students as an obstacle to growth. 

The following day Hammond was publicly rebuked by No.10. "Our position on who is included in the figures has not changed, and we are categorically not reviewing whether or not students are included," a spokesman said (as I reported in advance, May believes that the public would see this move as "a fix"). 

This is not the only clash in May's first 100 days. Hammond was aggrieved by the Prime Minister's criticisms of loose monetary policy (which forced No.10 to state that it "respects the independence of the Bank of England") and is resisting tougher controls on foreign takeovers. The Chancellor has also struck a more sceptical tone on the UK's economic prospects. "It is clear to me that the British people did not vote on June 23 to become poorer," he declared in his conference speech, a signal that national prosperity must come before control of immigration. 

May and Hammond's relationship was never going to match the remarkable bond between David Cameron and George Osborne. But should relations worsen it risks becoming closer to that beween Gordon Brown and Alistair Darling. Like Hammond, Darling entered the Treasury as a calm technocrat and an ally of the PM. But the extraordinary circumstances of the financial crisis transformed him into a far more assertive figure.

In times of turmoil, there is an inevitable clash between political and economic priorities. As prime minister, Brown resisted talk of cuts for fear of the electoral consequences. But as chancellor, Darling was more concerned with the bottom line (backing a rise in VAT). By analogy, May is focused on the political imperative of controlling immigration, while Hammond is focused on the economic imperative of maintaining growth. If their relationship is to endure far tougher times they will soon need to find a middle way. 

George Eaton is political editor of the New Statesman.