Länderfinanzausgleich: Grüner Finanzminister droht mit Zahlungsstopp für Sachsen-Anhalt

Baden-Württemberg's Green Land Finance Minister Danyal Bayaz threatens to halt payments to Sachsen-Anhalt if the AfD party wins the upcoming Landtag election on September 6th. Bayaz, on the X platform, warned that the Land Finance Equalization is a constitutionally regulated tool, not an instrument that can be arbitrarily changed based on political winds.

A united federal state operates based on shared rule-of-law principles; any questioning of these principles or questionable legal paths by a federal state would have consequences for trust and cooperation in federalism, including financial matters. Sachsen-Anhalt, which will elect a new Landtag on September 6th, could see the AfD securing an absolute majority with Ulrich Siegmund (AfD) as the new Minister-President.

The demand from Bayaz has political significance. Land Finance Equalization aims to ensure equal living standards across the republic. In 2025, over 20 billion euros were redistributed between the states through surcharges and deductions from VAT. Which state pays how much depends on its financial strength. Fewer states pay into the fund, while more receive money.

Currently, only four states pay, while twelve receive funds. Bayern contributed more than half (11.7 billion euros) of the Land Finance Equalization in 2025. Baden-Württemberg and Hessen each paid around four billion euros, and Hamburg paid 330 million euros. Sachsen-Anhalt was one of the largest beneficiaries, receiving 1.9 billion euros.

Due to its deficit, the Land Finance Equalization has been a subject of political debate for years. Bayaz pointed out that merely being part of the government is not a reason for sanctions; legally, it is almost impossible. Only a compelling reason, such as the path Hungary under former Minister-President Viktor Orban took, pressuring the judiciary, press, science, or educational institutions, would justify sanctions.

Bayaz emphasized that if governments want to use such measures, they must provide solid reasons, like Hungary's case. The move by the Green Finance Minister is delicate, as other Land Finance Ministers have not joined. Such sanctions based on government actions are not possible, according to a ministry spokesperson. Land Finance Equalization operates on objective criteria, aiming for comparable living conditions.

Decisions by a Land government do not matter. Rechtsprofessor Stefan Korioth from the Ludwig-Maximilians-University Munich confirmed that the Land Finance Equalization cannot be altered due to adverse behavior. It is regulated by federal law with no exceptions. The financing system is not a tool for imposing sanctions. A squelching of the Land Finance Equalization is only feasible by 2030, assuming all 16 states agree on a reform.

Additionally, a transition period until the end of 2035 would apply. Even with a change, Korioth sees "constitutional concerns" about creating a sanctioning mechanism for individual states. The Grundgesetz allows for Bundeszwang against a state that violates constitutional or federal law; however, it remains the "ultimate option" and has never been used in the history of the Federal Republic.