A triple win for Germany: Why investments in public transport are real economic drivers

A new study by MCube Consulting on behalf of Zukunft Nahverkehr (ZNV) shows: Local public transport generates three times as much revenue for the German economy as it costs.

Buses, trains, underground trains and streetcars are far more than just a means of transportation. A new study by MCube Consulting, the consulting arm of MCube for the public sector and industry, together with scientists from the Technical University of Munich (TUM), provides impressive evidence: local public transport is a strong economic factor - every euro invested brings triple benefits to the economy.

25 billion euros in costs - 75 billion euros in benefits

The annual operating costs of public transport in Germany are around 25 billion euros. At the same time, local public transport generates an economic value added of around 75 billion euros annually. This impressive balance sheet shows: Investments in local public transport pay off in many ways - for employment, growth, the environment and quality of life.

An engine for many industries

A significant proportion of the added value is generated directly by the public transport sector itself and its contractors - including vehicle manufacturers, maintenance companies and cleaning services. Many other sectors also benefit: The retail sector benefits from the high level of accessibility provided by bus and rail, while tourism benefits from good public transport connections, particularly in cities and vacation regions. In the labor market, public transport enables millions of commuters to access their workplaces every day and at the same time expands the catchment area for companies looking for skilled workers.

Less burden for the general public

The study also shows that public transport helps to avoid so-called external costs - i.e. social expenditure for traffic accidents, noise, air pollution, land consumption or CO₂ emissions. If the current transport performance of public transport were to be shifted to motorized private transport, society would incur additional costs of around nine billion euros per year.

Scientifically sound and independent

The study was conducted by MCube Consulting, namely Dr. Daniel Schröder and Lea Merk, in collaboration with scientists from TUM. The study was commissioned by the DB initiative "Zukunft Nahverkehr", but was based on an independent, scientifically sound methodology. For the first time, the overall economic benefits of public transport were systematically calculated - including direct and indirect effects.

Conclusion: public transport is a locational advantage

The results speak for themselves: public transport is not a cost factor, but an economic advantage for a location. Investing today not only ensures mobility and participation, but also strengthens key economic sectors, reduces social costs and creates future prospects. An efficient local transport infrastructure is therefore a supporting pillar for a sustainable and competitive economy.

Download MCube Value Creation Public Transport Final Report