Test in Saxony-Anhalt: Record debt endangers the future!

Test in Saxony-Anhalt: Record debt endangers the future!

In Saxony-Anhalt, the increasing debt of municipalities and counties cause large worry lines on the foreheads of those responsible. According to an article by MDR , the city of Dessau-Roßlau in particular is heading for a record debt. In order to stuff the financial holes, the municipalities are forced to take measures such as increasing dog taxes and the adjustment of cemetery fees. In addition, the drastic step of closing home stories is also considered.

But what drives the municipalities into this predicament? The answer is as simple as it is worrying: the economy is weak, while the wages and living costs continue to increase. This imbalance leads to an increasing deficit. Anhalt-Bitterfeld, for example, fights with an unprofitable birth clinic, while Dessau-Roßlau has high losses in her clinic, which amount to around 60 million euros. It almost reminds you of a vicious circle that you can't break through.

Financial support and hectic austerity measures

In order to relieve the financial need, the state government has formulated some support measures. However, these often only help the municipalities with the greatest debts and ignore the budget discipline of the more economical cities. According to the city and municipal association, the financial equalization in Saxony-Anhalt is in a crisis, because serious reforms are still not in sight. Many budget plans are based on new debts that are simply not wearable. Bad Schmiedeberg sits on debts of 20 million euros, in Wittenberg it is even over 50 million euros. Wittenberg is facing particular challenges, where the financing of a planned state garden show remains uncertain.

Another problem is the household barriers, which are often ignored. So many cities and municipalities do not manage to get their expenses under control. The country has apparently made the highly indebted municipalities priority and grants them extensive financial aids. However, this means that the "more economical" municipalities and their budget discipline are not adequately recognized.

control and sources of income

The numbers show mixed results on the income page. In the first quarter of 2025, the municipalities of Saxony-Anhalt achieved 302.2 million euros from trade tax, which corresponds to an increase of 5.7 million euros or 1.9 percent compared to the previous year, such as Statistics Saxony-Anhalt reported. However, the situation in Dessau-Roßlau is anything but rosy, since the city had to record a decline of 2.6 million euros in the case of trade tax revenue. Compared to the worst of Dessau-Roßlau with revenue of only 4.5 million euros.

The income generated show that the big cities such as Magdeburg and Halle (Saale) are much better positioned. Magdeburg can look forward to an increase of 9.4 million euros and is at 39.7 million euros at the head of trade tax revenue in the country.

The challenges are therefore clear: the municipalities have to find creative solutions in order to get their financial problems under control and at the same time withstand the pressure of the state government and the population. Time is ripe for a change and new ideas. What you can do specifically remains to be seen.