Harz narrow-gauge railways on the verge of collapse: impending insolvency & urgently needed 800 million euros!
The Harz narrow-gauge railways are facing financial challenges and need 800 million euros for renovation and securing the future.

Harz narrow-gauge railways on the verge of collapse: impending insolvency & urgently needed 800 million euros!
In the coming years, the Harz Narrow Gauge Railways (HSB) will face a massive financial challenge. A current report by the consulting firm SCI Verkehr suggests investments of at least 800 million euros in order to keep the dilapidated rail network and the outdated vehicle fleet in an operational condition. This is reported by NDR here. The urgent need for realignment is underlined by Supervisory Board Chairman Thomas Balcerowski (CDU), who emphasizes that the operation of the narrow-gauge railways can only be maintained with comprehensive changes.
The analysis is particularly critical of the maintenance backlogs in both the infrastructure and the vehicle fleet. The situation is so serious that, according to Balcerowski, bankruptcy cannot be ruled out. In order to prepare the HSB for the future, new steam locomotives and passenger cars are urgently needed, while the purchase of new diesel hybrid railcars is recommended. However, there is a ray of hope: over 500,000 passengers were welcomed in 2023, an increase of seven percent, which shows that interest in the nostalgic rides remains unbroken.
Financing bottleneck and government support
But the high investment requirement of 800 million euros cannot be covered by ticket revenues and shareholders alone. The HSB sees the federal states of Thuringia and Saxony-Anhalt as having an obligation to provide financial support, as both states hold significant shares in the narrow-gauge network. The Harz district administrator and supervisory board chairman Balcerowski is therefore actively calling for talks with the state governments, which are scheduled for the end of September. Like MDR here reports, Transport Minister Lydia Hüskens (FDP) is also required to demand a viable future concept from the HSB.
The report even suggests shutting down some ailing sections of the Selketalbahn in order to reduce costs. This could have far-reaching consequences for regional tourism, which is why Harzgerode's mayor Marcus Weise emphasizes the central role of the HSB for the business location. Meanwhile, there is also a demand for a new steam locomotive workshop to be built in Wernigerode, which is necessary for major work. The current premises are simply no longer suitable.
Transport connections and increasing attractiveness
The challenges are great, but there are still visions for increasing the attractiveness of the narrow-gauge network: A planned connection to the Lower Saxony city of Braunlage could bring around 200,000 additional passengers and thus provide a significant boost for the company. In addition, the district is planning to build a multi-purpose hall on the Brocken in order to further increase the tourist attraction.
However, it remains to be seen how quickly the necessary measures can be implemented. A route renovation could take several years and it cannot be ruled out that this will lead to temporary closures on popular routes, including the one to the Brocken. By March 2026, fares will also have to be increased due to increased costs. The situation is tense and requires a good hand from HSB to save the narrow-gauge railways in the heart of the Harz.