Hamburg plans double budget of around 48 billion euros for 2027/2028

Hamburg's red-green Senate has presented its draft budget for 2027/2028, totaling just over 48 billion euros. The plan allocates nearly 23.7 billion euros in spending for 2027 and 24.7 billion euros for 2028. Finance Senator Andreas Dressel (SPD) indicated that expenditures are projected to increase to around 26.7 billion euros by 2030.

The budget draft will now go to the Hamburg Parliament for deliberation and is expected to be finalized in December. Dressel highlighted the shrinking financial flexibility, noting that planned expenditure increases between 2027 and 2030 are projected at only 1.9 percent annually. This marks a significant slowdown compared to the 4.61 percent annual growth seen between 2015 and 2025.

In response to the tighter financial situation, Dressel announced that savings measures will be implemented. "Not all cost increases can be compensated, and not all vacant positions in the public service can be refilled," he stated. The announcement signals a period of fiscal restraint for the city-state as it navigates economic challenges and aims to manage its public finances responsibly.