German Federal States

County announced budget halt.

Central Saxony district, which has around 306,000 inhabitants, is the latest area to enforce a budget freeze due to a deficit of 12 million euros in its funds.

SymClub
May 31, 2024
1 min read
Newsbudget freezeDöbelnRegionalBudgetFreibergSaxony
Exploding care costs are a burden on the budget in Central Saxony (symbolic image)
Exploding care costs are a burden on the budget in Central Saxony (symbolic image)

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Elevated expenditure on social services - County announced budget halt.

The atmosphere in Freiberg and Döbeln, Saxony, is incredibly tense.

The root cause: Soaring healthcare costs, a lack of financial investment, and additional expenditures on road construction. A staggering 9 million euros is required for care assistance and employment center services, financial specialists in the local council have estimated.

Now, projects with postponed planning in this year are being pushed back to later years. In total, 9 million euros in spending will be withdrawn from the budget to stop the deficit from expanding even further. Due to increasing expenses, income is dwindling.

District Treasurer Christoph Trumpp stated, "Our primary objective is to make sure that the previously predicted and scheduled deficit for this year doesn't escalate even more." All expenditures are being assessed, and additional cost-saving measures are being considered.

Severe State of Affairs

This dire situation has led Trumpp to hope that no more actions will be necessary in 2024. The problem is that Mittelsachsen is not a solitary case - experts have claimed it reflects the budget situation in the entire state of Saxony.

The district administration, with about 1500 employees, is acknowledged as a significant employer in the area.

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