Jena imposes budget lock: 12.5 million euros due to tax failures!
Jena imposes budget lock: 12.5 million euros due to tax failures!
Jena, Deutschland - The city of Jena is forced to impose a budget lock of over 12.5 million euros due to a strongly declining trade tax revenue. The reason for this is more than worrying: around 20 million euros are missing compared to the originally planned income of 99.5 million euros for 2025. This could lead to an annual deficit of around 38 million euros, such as tixio reported.
The administrative budgets, private own companies and minor investments are particularly affected by this austerity measure. Voluntary services in particular, including municipal development cooperation and cultural subsidies, are significantly reduced. However, the city administration emphasized that one wants to take care of the community's ability to act despite the difficult financial situation. Constant obligations and central services remain largely unaffected by the lock.tax estimates and forecasts
The reasons for this drastic measure can be found in the recent decline in trade tax revenue. According to the publication of the May tax estimate by the Federal Ministry of Finance on May 15, 2025, trade tax revenue in Jena is significantly behind expectations. The income tax revenue will also decrease sharply in the coming years, and for the period from 2025 to 2029, a total loss of around 60 million euros will be predicted. The town hall Jena emphasizes comparable decline was determined in 2019.
In addition, a survey on the result forecast runs as part of the first tertial report of the city of Jena, which is intended to provide initial findings on the deterioration of the budget result. If the deviation of over two million euros is, restructuring must take place, which is usually achieved via the tertial report on April 30, 2025.
budgetary lock and their effects
Such a household ban is issued by the administration if the yields or expenses differ from the original plan and thus endanger the budget. Let's take a look at the details: Affected expenses must not be made during the lock, while legally defined obligations are left out. With this measure, no complete stop of all expenditure is obtained; Rather, the priorities are reorganized and new obligations should be minimized. According to Kommunalwiki , the lock can be canceled from the administration or the municipal council as soon as the endangerment of the budget equalization is reduced.
The city administration hopes to submit specific savings proposals by the end of July. After the summer break, advice from the city council about the further procedure is planned. In the context of this difficult financial situation, Jena will continue to do everything possible to maintain the most important services in order not to endanger the quality of life in the city.
| Details | |
|---|---|
| Ort | Jena, Deutschland |
| Quellen | |