# Saxony biennial budget deliberations > Live situation record from CLSTR: https://clstr.news/situations/saxony-biennial-budget-deliberations > Updated: 2026-08-26T16:13:45.000Z. Sources: 96. Developments: 2. The Saxon State Parliament has commenced the first reading of the biennial budget draft for 2027/2028. The proposed budget totals approximately 53.5 billion euros, with 26.5 billion euros allocated for 2027 and 27.0 billion euros for 2028. During parliamentary deliberations, political factions presented differing views on the fiscal outlook. The CDU faction, represented by Jan Löffler, emphasized the necessity of “fiscal seriousness” and clear priorities, highlighting planned annual allocations of nearly 9 billion euros for municipalities, approximately 8.6 to 8.7 billion euros for education and research, and 1.3 billion euros for internal security, including police and disaster protection. Conversely, Bündnis 90/Die Grünen, represented by Lasse Petersdotter, noted an increasingly difficult budgetary situation. The party cited challenges such as the climate crisis and hybrid warfare, as well as unexpected costs stemming from Federal Constitutional Court rulings on remuneration, which were estimated at 320 million euros for 2025/2026. The draft budget projects a financing deficit of 892.6 million euros, with adjusted revenues of 18.478 billion euros against expenditures of 19.37 billion euros. Recent reports confirm that Saxony’s record double budget includes plans for limited new borrowing to support infrastructure and municipal investments, even as the state intends to implement staff reductions. ## Claims - The European Commission proposed a budget of nearly 2 trillion euros for the 2028-2034 period. (corroborated by 42 sources) - Six EU member states are calling for a reduction in the proposed 2028-2034 multiannual budget. (corroborated by 30 sources) - German Chancellor Friedrich Merz rejected the EU Commission's budget proposal, calling it unaffordable. (corroborated by 26 sources) - The six 'frugal' nations finance approximately 40% of the EU budget. (corroborated by 26 sources) - The six nations want spending to focus more on defense, security, migration, and economic competitiveness. (corroborated by 24 sources) - The proposed budget represents an increase of approximately 60% compared to the current budget. (corroborated by 22 sources) - German Chancellor Friedrich Merz met with leaders from Denmark, Finland, and Austria in Berlin to discuss the EU budget. (corroborated by 16 sources) - The six nations oppose the issuance of new common EU debt to finance the budget. (corroborated by 10 sources) - The group aims to reach a compromise on the budget by the end of 2026. (corroborated by 5 sources) - The group demands that EU institutions manage their workload within existing staff levels. (corroborated by 5 sources) - Germany has requested a reduction of approximately 400 billion euros from the Commission's proposal. (corroborated by 4 sources) - German Chancellor Friedrich Merz stated that the group of frugal nations is not being stingy regarding EU budget cuts. (corroborated by 3 sources) ## Timeline ### 2026-08-26: Frugal EU nations demand hundreds of billions in budget cuts Six EU nations, led by Germany, are demanding hundreds of billions of euros in cuts to the European Commission's proposed 2 trillion euro budget for 2028-2034, citing fiscal sustainability concerns. 93 sources. https://clstr.news/cluster/german-states-propose-2027-budgets-focused-on-investment ### 2026-08-26: Saxony State Parliament begins 2027/2028 biennial budget deliberations The Saxon State Parliament has begun deliberations on the 2027/2028 biennial budget, totaling approximately 53.5 billion euros amid discussions on fiscal consolidation and rising structural costs. 3 sources. https://clstr.news/cluster/saxony-state-parliament-begins-20272028-biennial-budget-deliberations --- Cite as: Saxony biennial budget deliberations. CLSTR, https://clstr.news/situations/saxony-biennial-budget-deliberations