Budget freeze

The spending freeze is a tool that can be used when the balance of public budgets is compromised by overspending and / or revenue shortfalls (see hole in the budget ).

The actual technical term for the spending freeze is the " household economic barrier " which is governed by federal and state financial regulations and in Gemeindehaushaltsverordnungenen. In § 41 of the Federal Budget Code states: "If the development of the revenue or expenditure so requires, the Federal Ministry of Finance may make after consultation with the competent federal ministry there by his consent depends on whether obligations or expenditures are made. "

With the boom of budget, the executive reserves therefore, to decide case by case whether planned expenditure actually made ​​or commitments are made. This budgetary instrument may refer to the general budget or to certain parts of the household. Excluded are contractual obligations and inescapable expenditure (required tasks).

• Budget law ( Germany )
• Public debt