The German Retail Association (HDE) has warned against a reduction in funding for urban development. HDE President Alexander von Preen wrote in a letter to Federal Finance Minister Christian Lindner that cuts in urban development funding could have “fatal effects” on German inner cities.
“Two years of the Corona crisis have severely damaged trade and the cities,” emphasized von Preen in the letter to the FDP politician, which is available to the German Press Agency. The effects of the Ukraine war have since prevented any real recovery. This year alone, 9,000 shops would probably close their doors forever.
“The number of vacancies is growing, a downward spiral begins,” wrote the HDE President. Increasing desertification can be seen in many inner cities. “We therefore have to invest more in our inner cities, cuts would have massive consequences right now.”
According to information from Schleswig-Holstein, the federal government’s budget dispute is intended to cut a total of 900 million euros from joint federal and state programs. Subsidies for rural areas, the regional economic structure and urban development are affected. Lindner has called on all departments with the exception of the Ministry of Defense to save. (dpa)