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HAMBURG – Hamburg’s portfolio of public companies delivered a total contribution of approximately half a billion euros to the city’s treasury in 2025, according to the annual participation report presented on Tuesday by Finance Senator Andreas Dressel (SPD). This figure represents a sharp decline compared to the previous year, when these companies contributed over one billion euros to the municipal budget.
Record Investments Amidst Profit Dip
Despite the halved overall result, the city’s public companies continue to engage in record-level investments. In 2025, these entities invested approximately 4.3 billion euros, with half of that capital directed toward local public transport and energy infrastructure. The city currently holds a portfolio of over 370 companies, with direct participation in nearly 120 of them.
The financial performance across the portfolio was varied:
- Companies with losses: 17 firms, including the State Opera, the University Medical Center Hamburg-Eppendorf (UKE), and the Hamburg Hochbahn, recorded a deficit in 2025.
- Companies with positive contributions: 60 companies successfully transferred funds to the city, including the housing association SAGA, Hamburg Wasser, and the social services provider Fördern & Wohnen.
Calls for Austerity Measures
In response to the diminished financial output, Senator Dressel emphasized the need for strict fiscal discipline. “Everyone must make a contribution,” Dressel stated, noting that this could potentially involve workforce adjustments. While the companies have seen a general increase in personnel to date, the Finance Senator is pushing for a tighter focus on cost management to stabilize the city’s financial outlook.
Political Opposition Criticizes Management
The report has drawn sharp criticism from the political opposition. Thilo Kleibauer (CDU) argued that the data reflects a broader failure in the Senate’s oversight of municipal companies, pointing to rising debt levels and massive cost overruns in major infrastructure projects. The Taxpayers’ Association has further demanded that the city seek damages from involved parties whenever unexpected additional costs arise due to mismanagement.
Source: NDR.de
