• Germany edition
 
Wealthy Bavaria gets €227 mln state payback
Photo: DPA

Wealthy Bavaria gets €227 mln state payback

Published: 26 Jun 2013 12:27 GMT+02:00
Updated: 26 Jun 2013 12:27 GMT+02:00

Germany's wealthiest state Bavaria is gaining millions in a federal funding after census results showed more people lived down south than previously thought, the business daily Handelsblatt reported on Wednesday.

Ironically enough, Bavaria has led a recent campaign to kill off the system of Länderfinanzausgleich- state financial equalization - which redistributes some state tax revenue to smooth out differences between the nation's richer and poorer states.

Over the last few years, this has led to millions being shifted northwards to poor states such as Berlin. But the redistribution depends on population, and new figures have changed the picture.

The 2011 census numbers show there's been a considerably larger drop in the population of some states than others. As a result, states with much lower populations than expected are being asked to pay back money, while those with smaller relative losses - or even slight increases - are set to make monetary gains.

The money to be paid back relates to 2011 and 2012, while the 2013 funds are being allocated in line with the new population figures.

The biggest winner is Bavaria, long-term critic of the policy of state financial equalization, which is to get back €227 million, Rhineland-Palatinate (€203 million) and North Rhine-Westphalia (€130 million).

Berlin city state, on the other hand, will have to pay back €450 million, Baden-Württemberg €167 million, Hamburg €118 million and Saxony €9 million. All other states will receive more modest two-figure million sums back.

The Local/kkf

The Local (news@thelocal.de)

Don't miss...X
Left Right

Your comments about this article

Today's headlines
Germany should make use of shale gas: EU
EU commissioner for Energy Günther Oettinger pictured in Luxembourg in 2013. AFP Photo: Georges Gobet

Germany should make use of shale gas: EU

EU energy commissioner Günther Oettinger has urged Germany to make use of shale gas options and added that the he saw no danger of Europe's access to Russian gas falling victim to possible economic sanctions in the standoff over Ukraine. READ () »

Tennis aces close in on Fed Cup final
Members of the German Fed Cup Team celebrate after an earlier victory in the tournament. Photo: DPA

Tennis aces close in on Fed Cup final

Germany took hold of their Fed Cup semi-final on Saturday, winning both the opening day singles to lead Australia 2-0 in Brisbane. READ () »

Croatia extradites ex-top spy to Germany

Croatia extradites ex-top spy to Germany

Croatia extradited a former Yugoslav spy chief, Zdravko Mustac, to Germany on Thursday to face charges for the 1983 murder of a dissident on German soil. READ () »

German court jails Somali pirate for 12 years
An officer of the Lower Saxon Criminal Investigation Department (CID) securing evidence on the hijacked ship Marida Marguerite. Photo: DPA

German court jails Somali pirate for 12 years

A German court has sentenced a Somali pirate chief to 12 years in jail for hijacking a ship off the Horn of Africa and tormenting its crew during an eight-month ordeal. READ () »

New app helps clients find prostitutes
Photo: DPA

New app helps clients find prostitutes

While the German government is considering tightening prostitution laws, Berlin entrepreneurs have developed a smartphone app to connect sex-workers with clients. READ () »

Highs of 22C forecast for Easter weekend
Photo: DPA

Highs of 22C forecast for Easter weekend

The days running up to Easter may be cool and wet, but the holiday weekend should be a bit warmer for most of Germany, according to forecasters. READ () »

Berlin man must call himself a mother
The fight over the transgender man's right to be his child's official father has been raging since last year. Photo: DPA

Berlin man must call himself a mother

A transgender person who became the first man in Germany to give birth in March 2013 must be registered as the child's mother, a court has ruled after his year-long court battle to be named a father. READ () »

Study: rape convictions fall sharply
Photo: DPA

Study: rape convictions fall sharply

The chance of being convicted of rape in Germany has more than halved in the past two decades to fewer than one in ten, a major study revealed on Thursday. READ () »

SPD: Restore 45-percent investment tax
The tax privilege for investment income is unfair, says the SPD. Photo: DPA

SPD: Restore 45-percent investment tax

The centre-left half of Germany's coalition government has called for the old top rate of a 45-percent tax on investments to be brought back - to match standard income tax and fight the squeeze on middle incomes. READ () »

Customs find smuggled cash in every third car
Sniffing out the money. Photo: DPA

Customs find smuggled cash in every third car

The number of Germans smuggling large amounts of cash across the Swiss border into Germany rose dramatically last year. Customs officers said on Thursday they made a find in almost every third car they checked. READ () »

RECEIVE OUR NEWSLETTER AND ALERTS
Photo: DPA
Rhineland
Elderly man taped €200,000 to his genitals
Photo: DPA
Business & Money
What's the unemployment rate in your area of Germany?
Photo: DPA
Gallery
Nine ways to celebrate Easter like a German
Photo: Galerie Bilderwelt
Gallery
World War I in colour photos
Photo: DPA
Society
'The mafia has infiltrated every sector in Germany'
Photo: DPA
Society
JobTalk: Why you should teach English in Germany
Photo: DPA
National
330,000 sign up against TV licence fee
Photo: DPA
Hamburg
School kids hospitalized after 'porno' party
Photo: Submitted
Frankfurt
'I'll get even with my old pal Schwarzenegger'
Photo: DPA
Gallery
The week in pictures: April 5th - April 11th
Photo: DPA
Gallery
Ten great inventions you (probably) didn't know were German
Photo: J. Arthur White
Berlin
Clashes in Berlin as refugees tear down their own camp
Advertisement:
Photo: DPA
Gallery
Munich's baby polar bears are finally named
Photo: DPA
Gallery
The 10 best German employers to work for
CurrencyFair
Sponsored Article
Why it pays to avoid banks when making overseas transfers
Mr. Lodge
Sponsored Article
How to find a furnished rental in Munich
Sponsored Article
How to make a lasting impression in business
Hult International Business School
Sponsored Article
What they don't teach you at Business School
Photo: DPA
Society
Nine jobs you can only do in Germany
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
Photo: DPA
Features
The Local List Archive - Your guide to all things German
National
Share news tips with The Local Germany
Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,070
jobs available
Toytown Germany
Germany's English-speaking crowd