Germany news: Government expecting increased tax revenue in 2027
The German government anticipates collecting an extra €4.1 billion in taxes next year, with total revenues across all government levels reaching €1 trillion in 2027.
The German government expects to collect an extra €4.1 billion ($4.6 billion) in taxes next year, according to Finance Ministry calculations released Thursday. When looking at the federal, state and communal levels, the increase is estimated to be over €10 billion, adding up to a total of €1 trillion paid in taxes in 2027.
Budget remains tight despite revenue increase
However, Finance Minister Lars Klingbeil said the increased tax revenue would not bring relief to the budget. Klingbeil said that despite "international crises and uncertainties," the German government was expecting a "stable trend" in tax revenue for 2026.
We have responded to these crises. And we are in a robust position.
For 2027, the government "will not gain any new fiscal leeway overall, but we also won't have to close any new gaps." He called for continued consolidation to protect future budgets.
Rail punctuality issues to continue until 2029
According to Deutsche Bahn, it's unlikely that rail travelers in Germany will see any significant improvements to the punctuality issues that plague the network for another few years. The knock-on effect will be felt once they complete the most challenging refurbishment projects, with the modernization of the Hamburg-Hanover line scheduled for 2029.
Richard Lutz, the former head of Deutsche Bahn, claimed in 2024 that the refurbishment would lead to a steady increase in punctuality. However, punctuality for long-distance services has actually worsened, falling from 64% in 2023 to around 60% in 2025, with further declines expected in 2026.
The knock-on effect will be felt once we have completed the most challenging refurbishment projects.
Nagel blamed the delays on outdated infrastructure, with parts of the network breaking down faster than they can be repaired.
Arson attack on MAN trucks in Leipzig
Police are investigating a possible arson attack after more than 20 MAN trucks were set on fire on Thursday evening in the Sellerhausen-Stünz neighborhood of Leipzig, in eastern Germany. The fire broke out around 2 a.m. with several vehicles being completely destroyed.
The initial estimate of the cost of the damage reached seven figures. The Police Center for Countering Extremism and Terrorism from the Saxony criminal investigation bureau will take over further investigations since a political motive for the arson cannot be ruled out.
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