Challenging the Future: Wegner Slams Germany Ticket Over Exorbitant Costs
Wegner raises doubts about Germany Ticket issue
The 58-euro Germany ticket has already climbed up to 60 bucks, leaving its funding in doubt. Berlin's ruling mayor, Kai Wegner, of the CDU, is voicing his concerns, labeling the ticket as lavish on the federal government and states' pockets. He asserts, "Such acts of kindness from the federal government, which then have to be largely financed by the states, we can no longer afford."
As talks between the federal government and states about the Germany ticket's future unfold, it allows commuters nationwide to travel on local and regional transport for a monthly fee. The coalition agreement between CDU, CSU, and SPD stipulates the ticket's continuation beyond 2025, but warns of increases in prices starting from 2029.
Behind the Scenes:The federal and state governments are currently pumping in 1.5 billion euros annually to compensate for the transport companies' losses due to the Germany ticket. However, the federal funding is only legally guaranteed for this year. With approximately 14 million people using the ticket, the states are hesitant to shoulder the costs.
Federal Transport Minister Patrick Schnieder revealed the negotiations with states as troublesome, calling for a united stance from the states on the funding matter. He expressed concern over the mixed signals he's hearing from the states regarding their willingness to pay.
Setting Boundaries:
Wegner anticipates significant financial burdens for the states, hinging the approval of the federal government's economic relief package on meeting certain conditions. "We in Berlin have agreed internally within the coalition not to support any budget-burdening measures," he said. With the economy facing a crisis, immediate stimulus is necessary. However, Wegner emphasizes, "It is important that the burdens for the states remain manageable."
Adding to the strain, the planned reduction of VAT for the hospitality sector from 2026 will result in annual losses of 100 million euros in Berlin alone, prompting Wegner to engage in discussions with the Federal Chancellor to secure a fair balance of interests. The relief package proposes more favorable tax depreciation options for companies acquiring machinery, equipment, and electric vehicles, as well as plans to decrease the corporate tax rate from 2028.
The scheduled federal-state summit with the Chancellor and CDU leader Friedrich Merz was originally set for June 18th, but the date has been postponed, with a new date yet to be confirmed.
On The Horizon:Future developments in public transport, like integrated ticketing systems across Europe, might influence domestic ticketing strategies. The EU is also focusing on improving passenger rights and streamlining booking processes, which could impact funding and pricing for public transportation[2]. Germany's economic policies may also play a role in public transportation funding and pricing[4].
Sources: ntv.de, [mli/dpa/AFP]
- Germany ticket
- Kai Wegner
[1] Deutsche Bahn to Offer Tickets Europe-Wide[2] Rail Passengers’ Rights and Single European Railway Area[3] EU to Simplify Booking of International Train Journeys[4] Germany's Debt Brake Agreement
- With the increased price of the Germany ticket, Kai Wegner, the CDU mayor of Berlin, has criticized the federal government for its lavish spending on the ticket, stating that the states cannot afford to continue shouldering the costs.
- The reality of approximately 14 million people using the Germany ticket, coupled with the upcoming reduction of VAT for the hospitality sector, has led Wegner to seek a fair balance of interests between the states and the federal government, anticipating significant financial burdens for the states.
