Despite claims that migrants are going to fund the entire West and save pensions with all the tax funds they generate, reality is once again encroaching. Now, the Berlin Senate is preparing emergency loans to cover refugee costs at a time when Berlin is cutting services, including for schools, due to increasingly dire budget shortfalls.
Notably, a Christian Democrat (CDU), Kai Wegner, is the mayor of Berlin, but under his leadership, not much has changed from the previous left-wing government. Berlin’s Finance Senator Stafan Evers, also of the CDU, is reportedly preparing efforts to provide an emergency loan to cover the cost of refugees.
One of the problems is that Berlin has a debt brake that keeps the city from taking on further debt, but the government says it has the legal ability to make an exception.
In 2025, Berlin indicates it will cost €500 million to accommodate migrants. Remix News has reported on the soaring costs of housing migrants in Berlin in recent years. In 2023, it cost Berlin nearly €500 million a year to house migrants, which equals €1.5 million a day. Recently, there has been a push to convert massive buildings into refugee housing, which would cost Berlin hundreds of millions over the next decade just for one building.
Notably, Berlin already froze school budgets in 2024, but these budget cuts are not enough. The figure of €500 million also does not factor in other costs, such as education, integration efforts, and policing.
The report from the CDU, prepared in conjunction with its coalition partners, the Social Democrats (SPD), has not been yet made public, according to Tagesspiegel.
Berlin took in 21,000 fewer refugees last year than in 2022, when 32,752 refugees arrived, mostly due to an extreme shortage of housing. Currently, 41,000 people live in accommodations run by the State Office for Refugee Affairs.
In all likelihood, the solution will be more debt and more spending, with Berlin ready to declare an emergency to make up for the shortfalls.
On the federal level, the situation may be even more dire, with nearly €50 billion spent on migrants in 2023. Across Germany and much of the Western world, immigration is not only fueling a debt crisis, but it is also a major factor in skyrocketing housing prices.
On top of the millions of poor newcomers who need housing is also the role of foreign investors, who are buying up property across the West. The issue has gotten so dire that even those on opposite sides of the political spectrum, such as Spanish PM Pedro Sanchez and former Czech PM Andrej Babiš are proposing massive taxes on foreign buyers of property in their countries.