Germany's Bundestag budget committee approved a revised draft federal budget for 2027 early on 13 November 2026, following an overnight settlement meeting. The core budget now proposes €560.92 billion in expenditure and net borrowing of €122.97 billion. This is a committee decision, not a final budget law: the full parliament must still approve it.
Key facts
- Core expenditure rises by €5.48 billion from the government draft to €560.92 billion.
- Core-budget investment increases €5.58 billion from the draft to €61.85 billion.
- Of the proposed €122.97 billion in net borrowing, €84.55 billion is covered by the constitutional exception for defence and specified security expenditure, the committee says.
- The infrastructure and climate-neutrality special fund is a separate financing account, with €57.84 billion planned for 2027.
What changed in the core budget
The committee began its final negotiations on Thursday afternoon and concluded at 5:55 a.m. Friday. It considered about 2,000 motions. The governing CDU/CSU and SPD parties approved the draft against opposition from the AfD, Greens and Left. The figures come from the Bundestag's report dated 13 November.
The government's original August draft envisaged €555.4 billion of expenditure and €56.3 billion in investment. The committee's changes therefore increase the capital allocation in particular. Compared with the 2026 spending target of €524.54 billion, total planned core expenditure for 2027 is 6.9% higher. Forecast tax revenue is €396.21 billion.
The net-borrowing figure of €122.97 billion is €4.25 billion above the government's draft and exceeds the €97.96 billion budgeted for 2026. According to the committee, €84.55 billion of borrowing falls under the constitutional exception for defence and certain security-related spending and does not count towards the ordinary debt brake. The amount counted under that brake is €38.43 billion, exactly the permitted ceiling. This does not mean the government is borrowing only €38.43 billion overall.
Labour and social affairs remains the largest departmental budget at €203.29 billion, €1.82 billion more than originally proposed. A multi-year loan to the Federal Employment Agency increases by €3 billion to €8.2 billion. The defence ministry's core budget remains €109.75 billion overall, although allocations are moved internally and authorisations for future commitments increase.
Transport spending falls €1.08 billion from the government proposal to €25.35 billion. Planned investment for the federal motorway company is reduced €1.98 billion to €2.38 billion. Authorisations for future railway-construction grants, by contrast, increase. These authorisations allow obligations to be entered into for later budget years; they are not equivalent to cash already paid out.
The separate infrastructure fund
The committee also approved the infrastructure and climate-neutrality fund's financial plan. Its planned spending rises by approximately €2.9 billion from the government draft to €57.84 billion, fully financed through borrowing. This sum belongs to a separate account, rather than being an increase of €57.84 billion within the €560.92 billion core budget.
The allocation for infrastructure investment transferred to Germany's states increases by roughly €1.82 billion to €10.15 billion. There are also increases for childcare facilities, university construction, municipal sports facilities and work on bridges and tunnels. These numbers express intended spending priorities, not evidence that individual projects have been completed or payments made.
ZDFheute reports that total new borrowing could exceed €200 billion once credit-financed special funds are included. This broader estimate is not the same measure as core-budget borrowing, so the two figures need not conflict. ZDF also reports that funding for a general electricity-tax cut remains unresolved. The committee agreement should not be described as already granting that relief to all households.
What still needs parliamentary approval
ZDF expects the Bundestag to hold final deliberations and a vote during the sitting week of 24-27 November. More political changes could still be proposed. The budget law must be adopted and take effect before 2027 spending authorities are definitively established.
The committee's 13 November agreement shows the coalition's negotiated allocations. It does not establish that every proposed project is funded, underway or completed. The next tests are the final parliamentary vote and how much of the investment envelope is ultimately disbursed.
