
Why Germany's nationwide rail upgrade faces a five-year delay
Deutsche Bahn last year launched an ambitious project to improve the network. It involves the repair and modernisation of 40 of the most important railway lines in Germany.
But on Wednesday, it emerged that the "corridor refurbishment" was at least four years behind schedule.
The state operator was scheduled to get the project wrapped up by 2031. But the expected completion of the project is now 2035.
Deutsche Bahn revised its outlook at a recent industry event, but says it still needs to finalise the schedule.
"The aim of the industry forum is to develop an adapted proposal for extending the corridor refurbishment programme until 2035," the company announced.
"A further meeting of the forum is planned for July. As soon as the positions of the other transport companies and associations have been incorporated, the responsible railway subsidiary DB InfraGo intends to coordinate and approve a final concept with the federal government."
Why is the refurb delayed?
The initial timetable is said to have been slammed by many, especially in the freight transport sector, as too ambitious. There have also been complaints that diversions to alternative routes have not been sufficiently prepared.
Advertisement
The conservative Christian Democrats (CDU) and its sister party, the CSU, was also sceptical about the concept put forward by former Transport Minister Volker Wissing (a former FDP member).
The coalition agreement drawn up by the new government stipulates that the strategy will be reviewed and possibly adapted.
Deutsche Bahn previously said it had earmarked €16.4 billion to its infrastructure programme, with the aim of renewing about 2,000 kilometres of track and 2,000 points as well as upgrading several stations and bridges.
A Deutsche Bahn ICE (Inter City Express) train departs from Freiburg Central Station towards Switzerland. Deutsche Bahn customers experience frequent delays on connections to Switzerland, and will now need to change trains at Basel on some routes as well. Photo: picture alliance/dpa | Philipp von Ditfurth
What is the rail upgrade project?
The aim is to gradually improve punctuality in long-distance transport, which last year was worse than at any time since the railway reform in 1994. Only 62.5 percent of long-distance trains arrived without a delay of six minutes or more. And this figure does not include cancelled trains.
Experts say the main reason for unreliable trains is the dilapidated and overloaded network. Numerous construction sites slow down rail transport on a daily basis.
Of a total of 41 rail corridor upgrades, only one has been completed:
the overhaul of the Riedbahn
between Mannheim and Frankfurt am Main.
This redevelopment was supposed to show that it was possible to close an important route for several months and put it back in operation as a "high-performance line".
However, Christian Böttger, railway expert and professor at the Berlin University of Applied Sciences, takes a critical view of the result of the upgrade, which was largely completed at the end of 2024.
"The main goal of 'punctuality' was missed, but it has become three times as expensive," he told
Spiegel
. "So I don't see it as a great success story."
Furthermore, one of the goals of the project was not actually delivered on schedule – the modernisation of the line with the European Train Control system (ETCS).
READ ALSO:
The major rail disruption in Germany to prepare for this summer
Advertisement
Which routes are affected?
Following the Riedbahn, the
Hamburg-Berlin
route is next on the list. The renovation is set to take place as scheduled from August 1st this year to April 20th 2026.
During much of this time, the tracks will be closed. Long-distance trains between Hamburg and Berlin will be rerouted, while trains between Hamburg and Rostock/Stralsund will be diverted via Lübeck. Some regional trains will run, while other journeys will get a bus replacement service.
The first delays are expected to occur after that. For example, the
Frankfurt-Heidelberg
line is likely to not see an upgrade until 2030 instead of 2027. The
Lübeck-Hamburg
upgrade is set to be postponed by one year to 2028. And in 2028, only four lines are to be refurbished instead of nine, as previously planned.
According to DB's plans, several refurbs have a new scheduled completion date including:
Würzburg-Ansbach-Treuchtlingen
(2029),
Aachen-Cologne
(2029),
Forbach-Ludwigshafen
(2029),
Minden-Wunstorf
(2034) and
Weddel-Magdeburg
(2032).
The last and only refurbishment in 2035 would therefore be the
Flensburg-Hamburg
line.
The lines are set to remain construction-free for at least five years following the rail upgrades.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Local Germany
2 hours ago
- Local Germany
German businesses worried about sharp drop in incoming asylum-seekers
The number of refugees who have applied for asylum in Germany is down almost 50 percent year on year - at around 73,000 - according to the latest official figures . In comparison, a total of 250,945 people applied for asylum in the whole of 2024. The vast majority of these applications are from asylum-seekers applying for the first time. But with many industries relying on refugees to fill jobs, particularly less skilled ones, this isn't good news for German businesses - especially as the country is already struggling with a shortage of workers . Refugees frequently take up work in manufacturing, trade, logistics, and temporary jobs, with women often working in nursing, the hospitality industry, and education, according to the Federal Employment Agency. READ ALSO: 'Language classes at work' - How Germany could attract foreigners To address the problem, several business leaders have called for targeted labour migration and simplified immigration procedures – including for so-called 'basic' positions. "Relying exclusively on formally qualified specialists is insufficient," Sandra Warden, Managing Director of German Hotel and Restaurant Association (Dehoga) told specialist migration magazine Migazin , advocating for proper employment contracts for foreign workers. A worker puts hands on a wagon with the logo of German rail operator Deutsche Bahn (DB) on September 24, 2024 in Berlin. (Photo by Tobias SCHWARZ / AFP) Meanwhile, Germany's national railway operator, Deutsche Bahn, maintains that for its continued operations, "immigration is part of the solution". "Every hire for operational positions is important to us," a spokeswoman for the railway told the magazine. Advertisement Foreign workers are known to be important for helping to fill Germany's skills gap, and this includes asylum-seekers as well as highly sought after skilled-workers. A report by the Federal Ministry for Economic Affairs stated that "many thousands of additional workers" could come onto the market if those with a migrant background were given support with training and integration. A programme in Saxony-Anhalt has proved effective in this regard: 7,775 refugees have found employment since a 'Job Turbo' programme was introduced in October 2023, according to data from the regional arm of the Federal Employment Agency. INTERVIEW: 'Don't let fear deter you from new life in Germany,' minister urges The number of people moving from unemployed to employed between July 2024 and June 2025 was 11.3 percent higher than the same period a year earlier, the data showed. But there is still work to be done as liaising with different immigration authorities can cause bottlenecks and can vary from state to state. "The goal must be to ensure uniform procedures," the Halle-Dessau Chamber of Industry and Commerce told Migazin , explaining that whether and how quickly immigrants were able to enter a company should not depend on the city or district the business was in. Advertisement Many people who seek asylum in Germany are forced to work in jobs below their qualification level to prove they are financially self-sufficient and therefore can obtain permanent residency. READ ALSO: Germany vows to continue migration crackdown at borders despite court setback The number of refugees entering the country has shrunk considerably since May when the new government came into power and ordered increased border controls and rejections on all of its nine borders to neighbouring countries. As of the end of July, 9,506 people had been turned away at the border, according to German police data released on Friday. "Our border controls are working and will continue to be maintained," Interior Minister Alexander Dobrindt told Focus magazine. The border controls are currently set to last until September 15th.


Local Germany
4 days ago
- Local Germany
OPINION: Why Germany's pensions problems will soon be your problem
Finance Minister Lars Klingbeil presented his budget for 2026 this week. And now that the debt brake has been taken very firmly off, he's splashing the cash. So much so that it's easy to lose track of where the money is coming from – and where it's going: billions for the Bundeswehr here, billions for Deutsche Bahn there; even the consolation prizes for out-of-fashion green initiatives have nine-figure price-tags… But the real story here is not the €126 billion in off-plan spending on defence, infrastructure, and net zero. It's the near-identical sum which will be spent on pensions: €127,8 billion. That's almost a quarter of the regular budget, which stands at €520 billion. And given the lower-than-projected tax take in year six of economic stagnation, this level of spending will require a record €170 billion of government debt. So yes, we are, in essence, topping up the pension fund on credit. How the German pensions system works If you are employed in Germany, you make monthly contributions of 9.3 percent of your salary to an arms-length body, Rentenversicherung , which is matched one-to-one by your employer. Similarly to systems such National Insurance in the UK, the idea is for those in the workforce to finance pensions while they themselves acquire entitlements for their own retirement. So in theory, the government shouldn't need to allocate any budget to the system at all. Yet in practice – in another similarity to the UK's National Insurance – the system stopped working a long time ago and now requires annual injections of cash from the state exchequer to stay afloat. Unfavourable demographics The principal cause is that Germany now has far more retirees living much longer set against a rapidly-declining working population. Advertisement When the current pensions architecture was put in place in the 1950s, there were around six people in work for every one person claiming a pension. Average life expectancy was still below 70, and as Chancellor Adenauer famously remarked: ' Kinder kriegen die Leute immer ' (People always have kids). It didn't turn out that way. Instead, as life expectancy heads past 80, there are now only three workers for every pensioner; soon, this ratio will be closer to two to one. READ ALSO: 'Multiple crises' - Why fewer babies are being born in Germany While Germany is not alone here, our 1950-1970 boomers proved both particularly numerous and particularly shy of having children, so we have worse statistics than neighbouring countries – and more trouble paying pensions. Poor design Moreover, Germany's pensions system is, by design, more expensive than most other variants: instead of setting a minimum number of years' contributions as a threshold for a basic entitlement (as in UK, Denmark, or Sweden, for example), our system awards earnings-based points throughout working lives and then sets an individual pension level accordingly. Advertisement Check your annual statement to find out your projected monthly sum, and you'll see that this is good for high-earners and bad for the low-paid. What is more, it makes life difficult for actuaries at the pensions body, who have no idea how contributions from those still in work will develop. Germany has plenty to offer retirees. Image by Rudy and Peter Skitterians from Pixabay If the current labour force earns less, workers pay in less, too. Yet life expectancy rises inexorably (especially for high earners, who tend to be healthier in old age), and so the government has to step in to satisfy pensioners' legal entitlements. Bad politics Worse, government has continually tweaked the system in ways which make it ever costlier. In the late 2010s, for example, Merkel's coalitions expanded early retirement programmes, enticing anyone with 45 years' employment history to leave the workforce at 63 rather than 68, cutting five years of potential contributions out of the system – and adding five years of pay-outs. They also introduced the basic minimum state pension ( Grundrente ) and an additional mothers' allowance ( Mütterrente ) – over and above the points-based calculation. READ ALSO: Tax cuts and pensions - How Germany's budget changes could impact you The justification for this was that people who don't earn well or leave work to look after their families accrue fewer points, and so are left with low pensions. Advertisement Some say it's only fair that everyone has a decent income in old age, regardless of what they contributed. Others say: hard cheese, that's how it works. Wherever you stand on the politics, though, one thing is clear: the system was not designed to simultaneously reward high earners and be generous to all. Why the German pension systems won't stop working – for pensioners Yet that is precisely what, out of political expediency, it is being bent to do. The result is an already huge demographic deficit being made worse, swallowing up ever larger amounts of government spending. And it's about to get worse: a new, expanded Mütterrente is being planned as part of a bill guaranteeing that pay-outs will average 48 percent of wages for the remainder of this parliament. All workers in Germany contribute to the country's pension system. Photo: picture alliance/dpa | Axel Heimken Yet there will be no reduction in entitlements for higher earners, so the money will have to come from… That's right, future budgets! By 2027/2028, we can expect subsidies to the system to be approaching one third of regular spending. This means that, once the €500-billion off-plan bonanza ends in 2029/2030, there'll be direct competition for resources between the Army and the army of pensioners. Whoever the Finance Minister is by then, they'll be weighing up whether to spend on upgrading railways or uprating pensions. OPINION: If Germany is to thrive it must help foreigners feel they belong here What is already obvious: they'll opt for the latter. As everybody knows, turkeys don't vote for Christmas – and any politician looking to please turkeys doesn't put them on the menu. As pensioners make up an ever-growing proportion of the electorate, no major party will campaign to make them even marginally worse-off. Recent policy initiatives from well-meaning economists – e.g. a ' Boomer-Soli ' whereby wealthier pensioners pay a tax surcharge to finance the system, or doing it like the Danes and coupling pension age to life-expectancy – are total non-starters. As is the idea of getting civil servants and state functionaries to pay contributions. (Yes: Beamte get off scot-free…) How will the pension challenge affect today's workers? Instead, the ever-growing pensions bill will have to be financed by penny-pinching elsewhere – and by increasing insurance contributions for those currently in the workforce. So expect taxes to stay high, public infrastructure to get worse, and that 9.3 percent on your pay-packet to turn double-digit before the decade's out. READ ALSO: '€10 a month' - Germany to set up pension accounts for all children from age 6 Of course, no-one is going to say that out loud, which is why this thorny issue has been delegated to a commission which will report on the matter in the coming… *Yawn*. As anyone who has worked in a German company knows: Wenn man nicht weiter weiß, bildet man einen Arbeitskreis! (If you don't know the answer, set up a committee!) So if you're in work in Germany, there are two ways of looking at: Pessimistically, you're being sucked dry by a Ponzi scheme which will have collapsed by the time you're of pension age. Or, optimistically, politicians' consistent refusals to change anything mean that, when you hit retirement age, you'll be having the cash splashed on you – and may see the whole issue quite differently. Advertisement One thing's for sure: if Germany retains its system in anything like the present form, it will remain generous by comparison to many other countries – who will also be facing demographic pressures to varying degrees and seeking to keep spending under control. And a country without any pension provision at all is almost inconceivable. Indeed, as one of German politics' most enduring soundbites has it: " Die Rente ist sicherI " (Your pension is safe).


DW
4 days ago
- DW
Berlin-Hamburg: Deutsche Bahn closes Germany's top route – DW – 07/31/2025
Germany's rail operator is shutting down its main train line for nine months, as part of an overhaul scheduled to last at least until 2036. Costs are spiraling and criticism of the planning and implementation is growing. Starting August 1, Deutsche Bahn's 280-kilometer (174-mile) route linking Berlin to Hamburg will be completely closed for at least nine months. With up to 30,000 passengers daily, it is the most heavily used direct connection in Germany's long-distance rail transport. Around 230 regional, long-distance and freight trains travel daily on the tracks between Germany's two largest cities. Starting Friday, the intercity passenger trains will have to take a 100-kilometer detour, while freight trains will be rerouted even further. In addition, 170 buses will be deployed daily to continue connecting the towns between Berlin and Hamburg that will be cut off from rail service. Both the construction work and the replacement transport will be complex and potentially prone to disruption. On Thursday, Deutsche Bahn reported a loss of €760 million for the first half of the year. The company billed this as progress, as losses had been reduced by almost €1 billion compared to the previous year. "Deutsche Bahn is facing its biggest crisis in 30 years," CEO Richard Lutz admitted in May. "We cannot ensure stable operations on a fault-prone and outdated infrastructure." To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Germany's national rail network covers around 33,500 kilometers (20,800 miles) of tracks. As a state-owned company, the operator Deutsche Bahn is dependent on subsidies from the federal government, which critics say has invested far too little in infrastructure over the last few decades. In fact, some tracks, junctures and even signal boxes date back to the 19th century. Many systems are completely worn out, almost beyond repair, and now so outdated that they are unusable for digitally controlled rail operations, which are to become standard. There is no way around completely rebuilding them. The "general renovation" project began in 2024, with a focus on 41 main lines, which have a combined length of 4,200 kilometers and are essential for the operation. The 70-kilometer line between Frankfurt am Main and Mannheim was the first to be revamped. It was completely closed for six months as tracks and overhead lines were torn out and reinstalled. The 20 stations along the route, the signaling technology and the sound insulation were also renewed. However, installation of digital technology turned out to be more complicated than expected. Construction costs rose to more than €1.5 billion ($1.73 billion) — twice as much as anticipated. The Federal Audit Office, which monitors the government's budget management, subsequently accused the Federal Transport Ministry of negligence, arguing that Deutsche Bahn should have been required to prove the economic viability of its actions. Further renovation funds should only be made available once the Transport Ministry has "proven beyond doubt that they were necessary and economical," the office said. This led Deutsche Bahn to announce that the general renovation would be extended by six years until 2036. The company has now significantly scaled back its original construction plans. The number of new passing tracks and switches — which ensure that fast trains can overtake slow ones — has been reduced. The installation of the European Train Control System (ETCS) has been postponed until the next decade. The government has pledged additional funds to renovate the rail network, with Transport Minister Patrick Schnieder promising rail infrastructure investments totaling €107 billion by 2029. Most of the money is to come from the debt-financed special fund for infrastructure and climate protection launched at the beginning of the year. To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Currently, only 62% of German trains are considered to be on time — that is, those that arrive within six minutes of their scheduled time. Canceled trains are just as common as trains that don't reach their final destination. When there's a strike, or outside temperatures are very high or very low, there are even more problems. Traveling by train in Germany requires a lot of time, a lot of patience and strong nerves. Delays of two to three hours are not uncommon. In 2024, Deutsche Bahn had to pay its passengers almost €200 million in compensation, almost €70 million more than the previous year. The Federal Audit Office has also issued a warning that money alone will not be able to solve the "ongoing crisis" at Deutsche Bahn, and has called for a complete overhaul of the entire company, including an "adjustment of the corporate structure." That would mean unbundling the corporation with its many hundreds of holdings and subsidiaries. For years, there has also been discussion about separating rail infrastructure from transport, to enable more private companies to enter competition on the railways. Currently, the auditors have little hope that the railway will soon recover. In its report in May, it concluded that Deutsche Bahn will not be able to meet "transport and climate policy expectations in the foreseeable future."While you're here: Every Tuesday, DW editors round up what is happening in German politics and society. You can sign up here for the weekly email newsletter, Berlin Briefing.