>MitID doesn't work on rooted android phones, or those running a custom rom.

I find these arguments quite strange. A big part of MitID and similar services is to protect you against fraud. The most vulnerable in society (e.g. old people) aren't running these kinds of devices, and I'd rather we optimize for the general population and the people most at risk, rather than people running some weird setup that is almost identical to setups a scammer would run.

What privacy aspects are you lacking here? For all the services that MitID connects you to, there are government required responsibilities for these companies to track all of this information anyways and be able to provide it to the government if needed. That goes for banking, public services, telecom, etc. And this is in no way unique to Denmark, it's how most countries operate. Denmark has just acknowledged this and decided to make it easier.

Did you expect your UK bank to not be required to know who you are and be able to track and keep records of literally all financial interactions you have with them and their services? I'm a bit confused on what society you are comparing against.