Public Transport Cuts Loom: German Cities Warn of 10% Decline Due to Financial Crisis
Economy / Finance

Public Transport Cuts Loom: German Cities Warn of 10% Decline Due to Financial Crisis

The German Association of Cities (Deutscher Städtetag) has issued a stark warning about a significant decline in public transport services. Chief Executive Officer Christian Schuchardt told the “Kölner Stadt-Anzeiger” that nationwide, they anticipate over ten percent less public transport offerings in 2026/27.

According to Schuchardt, cities are currently adjusting timetables, cancelling entire routes, and cutting back on ancillary and tourist offerings. The root cause identified by the Association of Cities is the financial distress faced by local governments. Schuchardt lamented that the current level of public transport service cannot be sustained with the available funding. Already, the system is facing a deficit of 14 billion euros over the next five years, a situation exacerbated by rising track usage fees for regional rail transport.

The municipal association placed significant responsibility on the new Federal Transport Minister, Steffen Bilger (CDU). They stressed that the start of his ministry is an opportune moment to activate the promised modernization pact aimed at creating a high-performing public transport system. Both the Union and the SPD had agreed in the coalition agreement to establish a new legal basis for public transport financing and launch a mobility pact, ensuring that regionalization funds are primarily dedicated to rail services within local areas. Furthermore, the coalition partners committed to substantially increasing funds under the Municipal Transport Financing Act.

Schuchardt appealed to the federal and state governments to accept greater responsibility. The Association stated that the first step must be the removal of increased track usage fees-a burden they quantified at an additional 400 million euros annually. Once this issue is resolved, they argued, the federal and state governments could begin negotiations regarding the modernization pact for public transport in September, with the participation of local governments and industry stakeholders.