Hohenlohekreis defies austerity measures: major projects despite the financial crisis!

Hohenlohekreis defies austerity measures: major projects despite the financial crisis!

In the Hohenlohe district, an extensive savings package of ten million euros is being planned for the 2026 budget draft, but this only affects ongoing operations and not investments. District Administrator Ian Schölzel makes it clear that despite the ongoing financial crisis, investments, especially in large projects, should be expanded. The old district office in Künzelsau will remain in place, while the first administrative wing of the new district building is to be built in 2026 and is scheduled for completion in 2029. The cost limit for the new district center is 70 million euros, with half of the financing secured by equity and the other half by debt capital.

The new clinic building in Öhringen, which costs around 48.5 million euros, is surprisingly not financed by the state of Hesse. The inauguration of the new hospital is scheduled for January 2026, while operations will begin in March 2026. Since 2018, the Hohenlohe district has had to compensate for an operating deficit of four million euros for the Hohenloher Hospital gGmbH, which is putting an additional strain on the financial situation. The district administrator commented on the delays in the construction of the new clinic and described the loss of time as “justifiable” because of the problems with the general contractor Vamed.

Investments and challenges in healthcare

The challenges of hospital financing are not unique to the Hohenlohe district. According to a report by the German Medical Journal, there are 539 municipal hospitals across Germany that are central medical providers and employers. Many of these institutions struggle with financial deficits, which are often compensated by the municipalities, although this is not their legal responsibility. The federal states, responsible for investing in hospitals, have provided inadequate resources for decades. For 2022, a deficit of 447 million euros is expected for all municipal hospitals in Germany.

This situation is also reflected in the Hohenlohe district, where particular attention is paid to financing the new clinic building and compensating for deficits. Despite an expected deficit of 1.9 million euros in the earnings budget and a dependence on loans and reserves, the district plans to continue investing in the health sector and other key infrastructure projects, such as vocational schools and district roads.

Outlook for the coming years

Reserves have already been set aside for the new district center and the construction contract is scheduled to be awarded in April 2026. Investments in the Marlacher Steige are planned for 2027, with costs expected to increase from 7.5 million euros to 9.1 million euros. With this strategy, the Hohenlohe district aims to continue to ensure basic services and to advance forward-looking projects despite the financial challenges.

The planned measures indicate that the Hohenlohe district is optimistic about the future, despite financial bottlenecks. The ongoing discussions with the Ministry of Social Affairs about the future medical concept and the ongoing expansion of public infrastructure illustrate the desire to put the region in a good position both economically and medically.

For further information about the new Hohenloher Hospital building, please visit the [Hohenloher Hospital gGmbH] website (https://www.hohenloher-klinik.net/hlkh/patienten-wachter/neubau-hohenloher-klinik/). Current developments on finances in the Hohenlohekreis can be found at Stimme.de. Further insights into the challenges of hospital financing are provided by Ärzteblatt.de.