Discussions surrounding the 2026 federal budget are intensifying, with two ministries requesting significantly more funding than initially allocated, according to reports.
The Ministry of Transport, headed by Patrick Schnieder (CDU), is seeking an additional €27 billion for investments in infrastructure projects. Simultaneously, the Ministry of the Interior, under Alexander Dobrindt (CSU), is requesting €3.5 billion above the figures agreed upon by the cabinet in late June when outlining the budget’s framework. Dobrindt reportedly intends to use the additional funds to create approximately 40,000 new positions within the federal police force. The remaining ministries are largely adhering to the established spending limits, the Federal Ministry of Finance (BMF) indicates.
Officials at the Federal Ministry of Finance express surprise at these increased funding requests, noting that both the Transport and Interior ministries have historically struggled to fully utilize the funds previously made available to them. For instance, of the €44.4 billion allocated to the Transport Ministry in 2024, €7.9 billion remained unspent. The Interior Ministry also concluded 2024 with €2.7 billion in unspent funds from a budget of €13.3 billion. Across all ministries, the total amount of unspent funds in 2024 amounted to nearly €30 billion – a slight decrease compared to the previous year.
Finance Minister Lars Klingbeil (SPD) plans to engage in intensive meetings, known as “chef discussions” with his colleagues from the CDU and CSU to address these demands and redirect them towards the originally planned course. He reportedly remains confident in his ability to persuade them to reconsider their requests, emphasizing that other departments within the SPD are adhering to existing guidelines and agreements. While requests for additional funding have been a recurring phenomenon, including demands exceeding €17 billion for the 2025 budget, Klingbeil intends to underscore the importance of budgetary discipline.
The Finance Ministry is currently projecting a new debt of approximately €89.3 billion for the core budget for the next year, with an additional €83.4 billion expected to be borrowed from special funds. The cabinet is scheduled to finalize the 2026 budget on July 30th.
