Germany's 2027 budget needs billions more, including EV subsidies
Berlin has reported billions in extra spending for the 2027 budget, from electric car subsidies to the jobs agency, which gets the biggest increase.
Germany's federal government needs more money in 2027 than it had planned. According to a list of additional spending requests, the extra costs add up to billions of euros.
One item is the electric car subsidy. In November 2025, the CDU/CSU–SPD coalition agreed on a new programme aimed at low- and middle-income households. Now it shows up as a line in next year's budget.
The biggest single increase, though, goes to the Bundesagentur für Arbeit, Germany's federal employment agency.
For context: the cabinet approved the draft 2026 budget in September 2025, with high new borrowing that included money from the special infrastructure fund. The 2027 budget is the next big test of how far the coalition's money stretches.
If you pay taxes in Germany or follow its politics from abroad, this is the number-crunching to watch over the coming months.
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German 2027 federal budget extra spending · 3 updates
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