Freeze on Expenditures Totaling 2.25 Million Euros Approved

The City of Erlangen is taking further steps to implement its budget consolidation plan. Effective immediately, cash-based expenditure and payment estimates totaling 2.25 million euros will be frozen in the budgets of the city departments and municipal enterprises for the current fiscal year 2026.

The Budget Consolidation Plan

The Government of Middle Franconia, as the competent supervisory authority, had made its approval of increased borrowing for investments contingent on the requirement to

• that the consolidation plan be regularly updated and
• achieve further financial improvements.

With this measure, the city is continuing the budget consolidation plan adopted in April 2025. As early as the end of 2025, the City Council had already approved additional savings of 7.2 million euros through cuts in service expenses for the years 2026 through 2028. This was followed in April 2026 by a reduction in discretionary spending of an additional 940,000 euros.

Despite these measures, ensuring the city’s long-term solvency and financing future investments remain the central challenges. The budget consolidation plan therefore plays a crucial role for both the city of Erlangen and the government of Middle Franconia. It is an essential benchmark

• for assessing the city’s financial capacity and
• for future approvals of investment and bridge loans.

Restoring Financial Viability in the Medium Term and Ensuring the Capacity to Act

For the fiscal year 2026, the government has set a target of increasing cost savings by a total of five million euros. With the recently approved spending freeze of 2.25 million euros and the previously implemented reduction in discretionary spending of 940,000 euros, this results in a preliminary total savings target of 3.19 million euros for ongoing administrative operations in 2026.

The departments and specialized agencies are implementing the specified savings targets through concrete consolidation measures. In addition to a reduction in payments to the municipal enterprises EJC (Erlangen Job Center) and EB77 (Municipal Enterprise for Urban Greenery, Waste Management, and Street Cleaning) totaling one million euros, these measures also include, among other things,

• cuts to sports funding—such as flat-rate payments for coaches, subsidies for gym rental fees, and other grants
• cost savings in the public relations work of the departments, as well as
• a reduction in cultural funding.

In addition, certain capital projects will be postponed, including preparatory work for the roof renovation of the Egloffstein Palace as well as work on the Eurosporthalle, particularly on the roof, locker rooms, and connecting corridor.

The goal remains to

• restore the city’s financial capacity in the medium term and
• to ensure Erlangen’s ability to act in the future as well.

Information on the budget is available online at www.erlangen.de/haushalt.