The planned federal guarantee for the flying taxi startup Lilium amounting to 50 million euros is expected to fail due to resistance in the Bundestag's budget committee, reported DER SPIEGEL. The attempt to secure a total of 100 million euros in loans – guaranteed equally by the federal government and Bavaria – remains blocked after the government presented the budget proposal in the summer.

Federal Minister of Transport Volker Wissing (FDP) urged for a swift approval from the parliamentarians to enable financial support for Lilium. The Bavarian state government had already indicated its approval in September, but on the condition that the federal government also assumes the guarantee. With the budget committee's rejection, support from Bavaria is now also in question.

During the discussions, several representatives of the "traffic light" coalition parties expressed criticism of the guarantee. Frank Schäffler, the responsible FDP rapporteur, told the German Press Agency: "I think support for Lilium is wrong. The risk for the federal government is far too high. If Bavaria wants to take on this subsidy, it should do so on its own." This stance highlights concerns about the financial risks associated with supporting a start-up that has been struggling so far.

Lilium, founded by graduates of the Technical University of Munich, records significant losses and had to postpone the first manned flight to the year 2025. The capital requirement of the company is expected to be between 300 and 500 million euros until the planned type certification in 2026. Without the planned guarantee, Lilium lacks crucial funds to ensure the necessary investments and operational activities.

The decision of the budget committee means that the issue will not be placed on the agenda further, significantly reducing the chances for future support. The uncertainty about Lilium's financial future could further weaken the confidence of investors and partners and hinder the expansion of the air taxi market in Germany.