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Colleges and universities will receive long-term planning assurance

Future funding for Berlin's public universities clarified after Senate’s approval of university contracts, settling a prolonged dispute.

Educational establishments to secure long-term planning assurances granted
Educational establishments to secure long-term planning assurances granted

Colleges and universities will receive long-term planning assurance

In a significant development for Germany's higher education sector, both the Berlin and Bremen Senates have agreed to changes in university contracts, providing planning certainty until 2028.

The announcement was made by Science Senator Ina Czyborra (SPD), who stated that the changes are necessary to adapt to the new situation. The decision follows negotiations between the Science Administration and the heads of Berlin's major universities, including Humboldt, Free University, University of the Arts (UdK), Charité University Medicine, University of Technology, and the Hanns Eisler School of Music, which took place in July.

Under the new contracts, universities are set to receive around 6.8 billion euros over the next four years. However, funding for universities is set to increase annually by about 3 to 3.5 percent, which is less than the initially agreed 5 percent due to budget discussions in 2025. The agreement for a 5 percent annual increase was withdrawn as part of these discussions.

Despite the reduction, no further cuts for state universities are planned from 2026 onwards. In fact, from early 2026, the state of Berlin will take over all pension liabilities of civil servants at the universities, amounting to 120 million euros for the next three years. Universities will also receive an extra 186 million euros for their pension provisions over the next three years.

Science Senator Czyborra admitted that cuts have occurred in the university system, but emphasised that the new contracts aim to provide stability and certainty for the future. The senator also highlighted that the changes will help universities to adapt to the challenges they face, ensuring they can continue to deliver high-quality education and research.

Before the plans can be officially implemented, they need to be approved by the House of Representatives. Once approved, universities can sign the new contract, securing their funding for the next six years and providing a much-needed boost to Germany's higher education sector.

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