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Northern Hesse benefits from 45 million euros in emergency aid from Hesse!
Northern Hesse will receive over 45 million euros in emergency aid to support municipalities due to economic challenges.
Northern Hesse benefits from 45 million euros in emergency aid from Hesse!
In a groundbreaking decision, the Hessian state government has put together an aid package totaling 300 million euros for the municipalities, which is intended to offer cities and municipalities immediate financial support. This comes in light of the ongoing economic downturn and significant declines in tax revenue. Northern Hesse in particular benefits from this initiative, which provides over 45 million euros in emergency aid.
The distribution of the funds, which will be paid out to the municipalities in an unbureaucratic manner this year, will be carried out according to the criteria of the municipal financial equalization. Financially weaker municipalities in particular are given greater consideration. Finance Minister Professor Dr. R. Alexander Lorz makes it clear that emergency aid is urgently needed to overcome the economic challenges, as there has been no significant economic growth since 2019. Hesse is currently missing around two billion euros in tax revenue, and the coverage gap could amount to around three billion euros annually if you take into account the measures taken by the federal and state governments to stimulate the economy, as landesregierung.hessen.de reports.
Distribution of aid in northern Hesse
In total, the following amounts flow to North Hesse:
- Kassel und Landkreis Kassel: 23.534.755 Euro
- Werra-Meißner-Kreis: 4.939.137 Euro
- Landkreis Waldeck-Frankenberg: 7.729.364 Euro
- Schwalm-Eder-Kreis: 8.879.356 Euro
Particular attention is being paid to the Kassel district, which will receive the largest share at 23.5 million euros. In detail, the division into Kassel and the surrounding area looks like this:
| Community | amount |
|---|---|
| Kassel district | 5,155,614 euros |
| City of Kassel | 12,425,833 euros |
| Ahnatal | 205,934 euros |
| Baunatal | 349,030 euros |
The Werra-Meißner district is expected to receive 4.9 million euros, while the Waldeck-Frankenberg district will receive a good 7.7 million euros. The Schwalm-Eder district can also look forward to around 8.9 million euros. These funds are not earmarked; Cities and municipalities can use them according to their own needs.
Future outlook and challenges
Despite the financial support from Wiesbaden, the municipalities continue to face considerable challenges. Despite the difficulties in public budgets, Hesse plans to continue to invest specifically in areas such as education, internal security and infrastructure. A reduction in the country's administrative spending is planned for 2026 in order to stabilize the economic conditions. At the same time, Hesse will probably have to pay 3.5 billion euros into the financial equalization for poorer federal states, both in 2025 and 2026, which could put additional strain on the financial situation.
“We have a good knack for taking the right measures,” says Lorz. The emergency aid is a first step towards consolidating and adjusting the municipalities' financial resources in order to remain able to act even in difficult times, as hessennews.tv emphasizes.