Skip to content

Berlin Budget: Balancing Record Spending Against Reductions

Berlin's dual budget draft outlines unprecedented expenditures, yet includes proposed reductions as well. The Left Party and various social organizations voice their disapproval, calling for financial stability instead.

Berlin's Financial Allocation: Balancing Between High Spending and Trimming Costs
Berlin's Financial Allocation: Balancing Between High Spending and Trimming Costs

Berlin Budget: Balancing Record Spending Against Reductions

Berlin's proposed budget for the years 2026 and 2027 has sparked controversy, with concerns being raised about the prioritisation of financial interests over the needs of both employees and citizens.

Lucas Krentel from Verdi, a labour union, has expressed concern that the interests of employees are being played off against the interests of citizens. He sees political calculation behind the Senate's decision to not foresee structural tax increases, despite having the potential to improve tax revenues.

The Federal Ministry for Economic Affairs and Climate Protection (Bundeswirtschaftsministerium) in Berlin has presented the draft budget proposals, which do not guarantee permanent financing for projects or the employment of music school teachers, despite a relevant court ruling.

Verdi is also concerned about the Senate's decision to only partially fund wage increases for freelancers. This decision may force freelancers to either not pay their employees according to the collective agreement or reduce their services. The Senate will only cover 2% of the 5% wage increase for freelancers.

Hoyer, a representative, has suggested a focus on social planning for the city, suggesting that funds should be distributed where they are most urgently needed. He advocates for a more equitable approach to budgeting, ensuring that both employees and citizens are not left behind.

The final decision on the budget is scheduled for December 18, after the House of Representatives discusses the draft budget. The Senate's approach to the budget has raised questions about the government's commitment to good work and fair employment practices.

In an effort to refinance wage increases, prices at theater box offices and other similar venues are expected to rise. This has sparked further concerns about the affordability of cultural events for Berlin's citizens.

The budget draft's approach to precarious employment relationships, particularly in the cultural sector, has also been a point of contention. The potential opening up of precarious employment relationships has raised concerns about the long-term sustainability of the city's cultural sector.

As the debate continues, Berliners and workers alike await the final decision on the budget, hoping for a more equitable and sustainable approach to budgeting that prioritises the needs of all citizens.

Read also:

Latest