Due to billions missing from the German federal budget for 2024, municipalities, climate activists and police are concerned about cuts. The FDP insists on changes to citizens’ money, while the SPD insists on lifting the debt brake for next year. According to the budget decision of the Federal Constitutional Court, the government alliance does not have the money to finance all the projects planned so far.
Meanwhile, time is running out for the coalition to approve the 2024 budget in parliament this year. For days, German Chancellor Olaf Scholz (SPD), Vice Chancellor Robert Habeck (Greens) and Finance Minister Christian Lindner (FDP) have been fighting behind closed doors to find ways out of the billion-dollar hole in the budget. . Lindner estimates it to be 17 billion euros. Habeck, also minister of climate protection, had even canceled his planned trip to the world climate conference in Dubai. If a decision is made before New Year’s Eve, a fundamental political decision must be made quickly and ideally before Wednesday’s cabinet meeting so that there is still enough time for parliamentary procedure. It is also possible that there will be a fundamental political agreement before Christmas, but the budget will not be approved by Parliament until early 2024. Without a fundamental political agreement before Christmas, there is a risk of a real government crisis.
Lindner identified social issues as an area of savings, including citizens’ money. Social Minister Hubertus Heil rejected calls from the Union and the FDP to halt the sharp rise of an average of twelve percent at the beginning of 2024. The SPD politician explained on Monday that it was “morally irresponsible and incompatible with the constitution.” deny those affected an adjustment to normal rates. Government spokesman Steffen Hebestreit also said: “I don’t know if there are plans within the federal government to change the legal basis.”
The FDP points to the fact that inflation has fallen sharply and is maintaining its demand. FDP parliamentary group leader Christian Dürr told the newspaper “Bild” (Tuesday): “I thought it would be right to also talk about the calculation of citizens’ money during the budget deliberations. Because the calculation method goes back to the times of Hartz IV – “This is very outdated.” It must be carefully examined “whether the wage disparity requirement can be maintained using the old calculation method”. Those who work must “always have more money left over than those who do not work” , said the FDP politician.
The German Social Association (SoVD) objected. CEO Michaela Engelmeier told the newspapers of the Funke media group (Tuesday): “Publicly demanding that citizens’ money be repaid again completely ignores the reality of people who depend on social benefits and who have been waiting for inflation compensation for many months. because their money doesn’t last until the end of the month.” Instead, Engelmeier called for a “constructive debate” on strengthening the revenue side. Left party leader Martin Schirdewan demanded in the Funke newspapers that the ten This country’s richest billionaires should receive at least ten percent of their “non-performance income” through an asset tax He called the current debate over cuts to the social sector “completely absurd”.
SPD leader Saskia Esken continues to push for the debt brake to be lifted for 2024 as well. In the “Stuttgarter Zeitung” and “Stuttgarter Nachrichten” (Tuesday), Esken argued that Germany continues to incur costs direct and indirect consequences of the Russian war against Ukraine. These cannot be easily covered by the normal budget. “The Constitution does not expect us to do this. The exception to the debt brake is also part of the Constitution,” Esken emphasized.
The debt brake should be suspended again during the current year, in order to prevent the budget from becoming unconstitutional. The Bundestag Budget Committee wants to question experts about this on Tuesday (11 am). According to their written statements, the majority considers the federal government’s approach to be justifiable. It is understandably justified that Germany was in trouble at the beginning of the year with the energy crisis. This is the prerequisite for lifting the debt brake.
The German Association of Cities and Municipalities called for exceptions to the debt brake for “important generational tasks such as climate protection and infrastructure”. “This is also justified because, compared to the G7 countries, Germany has the lowest national debt and today’s investments guarantee tomorrow’s prosperity,” said Gerd Landsberg, director general of the German Association of Cities and Municipalities. , to “Rheinische Post” (Tuesday). ). Many municipalities are concerned about the federal government’s budget problems, as they are affected in several ways, Landsberg reported. This applies, for example, to municipal thermal planning, building renovation or the expansion of charging infrastructure.
The police union (GdP) warned of savings in the security sector. The president of the federal police GdP, Andreas Roßkopf, told the “Rheinische Post” (Tuesday) that current working conditions in many places are already “scandalously bad”. Roßkopf appealed to Federal Interior Minister Nancy Faeser (SPD) to absolutely avoid further austerity measures. Otherwise, there is a risk that migration control problems will worsen, warned the union leader. Climate activist Luisa Neubauer warned the federal government against cutting climate investments due to budget problems. Anyone who reduces climate protection just to avoid taking on new debt doesn’t really understand what world they live in, Neubauer said in an interview with RTL. Either way, the Federal Republic is indebted: to livelihoods, to the younger generation, to the people of the global South, to the future. “This debt happens every day”, emphasized the Fridays for Future activist.