Transport Minister Hermann advocates for increased boldness in domestic transportation initiatives
In the heart of Europe, Germany is making strides in prioritizing public transport as part of a broader agenda centred on economic growth, fairness, and sustainability. Finance Minister Lars Klingbeil made this statement in July 2025 [2].
Gerd Hickmann, the head of the Ministry of Transport, notes that rail traffic is popular, with the Germany ticket contributing to this popularity. The public budgets for public transport in the southwest spent a significant 3.3 billion euros last year, marking a 70% increase compared to 2018 [1]. However, there is currently no concrete implementation or official adoption of a citizen tax specifically proposed for financing the expansion of public local transport in Germany.
Instead, the recent 2026 federal budget includes substantial investment of €33.7 billion earmarked for modernizing Germany's transport infrastructure, with a focus on improving bus and train services, including in rural areas [2]. This funding comes from general government revenues rather than a dedicated new citizen tax.
Christoph Schnaudigel, the district administrator of Karlsruhe, emphasizes the importance of adequate financing for the mobility transition to achieve climate protection goals in the transport sector. The new State Mobility Act, which came into force at the end of March, creates the possibility of introducing a tax for financing the expansion of public passenger transport [1].
Transport Minister Winfried Hermann (Greens) has called for courage from municipalities and districts for the expansion of public local transport by bus and rail. The tax, a new innovation in financing the expansion of public passenger transport, would be levied by cities and districts, not the federal government. If implemented, the tax would be refunded one-to-one as a discount on time tickets, directly related to the use of local public transport (ÖPNV) [1].
Hermann also highlights the success of public transport in the southwest, stating that the region is recognized as successful in Baden-Württemberg in terms of public transport. However, there is still room for improvement, particularly with buses, according to the Ministry of Transport [1].
Despite the interest among city and district councils in the innovation, there are concerns about whether such a tax would be acceptable to people in difficult times. The tax could potentially be a charge on residents or vehicle owners in the future [1]. Hermann refers to the new ÖPNV report and calls for buses and trains to be more reliable to attract more passengers, citing breakdowns and delays as issues [1]. Public transport is climate-friendly and should have a positive image, according to Hermann [1]. Rail traffic is a popular aspect of public transport, as highlighted by the Ministry of Transport [1].
In summary, while Germany is actively funding public local transport expansion through federal budgets, there is no evidence of a special citizen tax currently being proposed or enacted for this purpose as of mid-2025. The new State Mobility Act offers the possibility of introducing a tax for financing the expansion of public passenger transport, but its acceptance remains to be seen among the public.
The proposed tax for financing the expansion of public passenger transport, as outlined in the new State Mobility Act, is yet to be accepted by the public, causing concerns among city and district councils. The general news highlights ongoing debate about the acceptability of this potential charge, particularly during difficult economic times.
Despite the lack of a concrete citizen tax for public local transport funding, the 2026 federal budget includes significant investments in improving bus and train services across Germany, including in rural areas, primarily sourced from general government revenues.
