Financial problems

Bruck/Mur imposes a budget freeze

Andrea Winkelmeier, Mayor of Bruck (SPÖ)(Bild: Christian Jauschowetz)

Bruck an der Mur has imposed a budget freeze due to impending liquidity problems - planned expenditure is being temporarily withheld. Wages and salaries are not affected. The reason given is the financial burden on local authorities due to inflation.

Bruck an der Mur has considerable financial problems and is now apparently reaching its limits in terms of liquidity: "The city is facing considerable challenges due to the lack of financial aid and delayed allocation of funds," it said in a press release on Tuesday evening. More and more municipalities are "fighting against financial collapse".

In Bruck, solvency is now under threat because funds have not yet reached the municipal budget. The "budget balance" is in danger, says Mayor Andrea Winkelmeier (SPÖ). However, it is not poor management that is to blame, but rather the increase in the city's compulsory tasks, which are not being kept up with by revenues.

The mayor has therefore imposed a budget freeze with immediate effect. At the same time, Winkelmeier wants to present a package of measures to ease the situation by the municipal council meeting on June 27.

Wages and salaries not affected
According to the district capital's statement, a budget freeze means that expenditure that is likely to be incurred and required positions will be withheld. Fixed benefits, interest payments and repayments as well as wage and salary payments to staff are not affected.