All this is more expensive in Munich

This time it’s not the rents. Munich is and remains the most expensive city in the German rental price ranking. Life in the state capital will be more expensive overall in 2022 – Munich residents have to reckon with that:

Many companies and businesses are still battered by the corona pandemic. The consequences of the war against Ukraine are now dampening the hoped-for upswing. Because the prices for food, fuel and energy have even doubled in some cases.

  • Visit to Hellabrunn Zoo

The corona pandemic and rising costs for energy, feed supply and staff are forcing Hellabrunn to increase prices, according to a press release from the zoo. “We have to act with foresight in order to maintain the extensive zoo operations,” says zoo director Rasem Baban.

During the pandemic, the zoo was sometimes closed for weeks. That left economic scars. Since February 2022, adults have been paying 18 euros, children instead of 6, now 7 euros. The price for the “small family day ticket” will be increased from 19 to 22 euros. The “Big Family Day Ticket” now costs 39 euros. Parking has also become more expensive: it now costs 6 euros per day.
Munich: A view of the entrance to the Hellabrunn Zoo in Munich (archive image): Because of Corona and high operating costs – prices in Hellabrunn are increasing. (Source: Ulrich Wagner/imago images)

Since the turn of the year, bus and train prices in Munich have risen by an average of 3.7 percent, according to the Munich Transport Association MVV. According to MVV Managing Director Bernd Rosenbusch, the reason for this is the effects of the corona pandemic. The price for a short trip has risen from EUR 1.70 to EUR 1.80.

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Various other tickets were also slightly more expensive. A strip ticket now costs EUR 15.20 instead of EUR 14.60 previously. A monthly ticket for the interior, Zone M, costs 59.10 euros instead of 57 euros. So far, there are no signs that the Ukraine war could cause prices to rise again prematurely. Instead, there are voices in the city council calling for free tickets.

The tariffs of the Munich public utilities were already more expensive at the turn of the year. According to a company press release, an average household will pay around 4 euros more per month for electricity and 23 euros more for natural gas this year. Rising gas prices were already given as the reason for this.

Utility bill (symbol image): Life in Munich will be significantly more expensive in 2022, with energy costs in particular having an impact on many areas.  (Source: imago images/Emil Umdorf)Utility bill (symbol image): Life in Munich will be significantly more expensive in 2022, with energy costs in particular having an impact on many areas. (Source: Emil Umdorf/imago images)

According to a spokeswoman for the public utility company, it cannot be foreseen whether the continuing rise in energy prices could also have an impact on customers in the short or medium term. She refers to the current status of the tariffs, how these develop depends, among other things, on the course of the war.

Volker Rastätter from the Munich Tenants’ Association recommends that all tenants save money as a precautionary measure in order to be able to pay the upcoming service charge bill. Rastätter warns that the additional costs could be twice as high in 2022 as they were a year ago.

It’s not just electricity and heating costs that have risen dramatically, the costs for craftsmen and caretakers could also increase by 50 percent. Rastätter cites inflation and a lack of raw materials as the cause. For Munich residents who receive housing benefit, there is a subsidy for the additional costs.

Independent of the war, there have already been price increases and others could be necessary, as Thomas Geppert, managing director of the Dehoga hotel and restaurant association in Bavaria, knows. And the war is also having an impact on the industry, as it is very “personnel and energy intensive”.

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If the costs for employees or electricity rise, higher prices are “inevitable”, he argues. Wages have recently increased massively in the industry to compensate for the zero rounds of the two previous years, when many companies in lockdowns were only concerned with survival. The same applies to hotels.

Nevertheless: “Everyone should still be able to afford the gastronomy,” says Geppert, referring to the guests. You don’t want to exclude anyone even with higher prices. Instead, many guests would have learned to appreciate the hospitality industry again during the pandemic – and understand that they had to pay a little more.

The breweries decide how much more expensive the beer will be. However, it is certain that beer prices will rise, says Walter König, Managing Director of the Bavarian Brewers’ Association in Munich – and paints a bleak picture. Since the beginning of the war, cooking oil and flour have been in short supply everywhere, and supermarkets are rationing out everyday groceries.

There is a lack of malt, barley and wheat – types of grain without which brewing beer is impossible. Before the war, Ukraine exported around 30 percent to the entire world grain market. Just looking at the malt content adds up to 35 to 40 cents per crate.

All in all, König soon expects around three euros more per box – and with the effects of the war until at least 2025. The price for a beer this year should be between 13.60 and 14.90 euros, reports the “Bild”.

Sales stand with asparagus on the Viktualienmarkt in Munich (archive photo): High energy costs and increased minimum wage could make asparagus more expensive.  (Source: imago images/Ralph Peters)Sales stand with asparagus on the Viktualienmarkt in Munich (archive photo): High energy costs and increased minimum wage could make asparagus more expensive. (Source: Ralph Peters/imago images)

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Simon Schumacher from the Association for Southern German Asparagus and Strawberry Farmers emphasizes that the asparagus price is very dependent on the right weather.

However, he names two factors that could make asparagus more expensive in 2022: the increased minimum wage and the increased energy costs, which are causing problems for asparagus farmers, whether it is diesel for the tractor or electricity for the cooling systems.