Chancellor Friedrich Merz has called on the SPD and the Greens to stop the expropriation plans of a possible red-green-red coalition in Berlin.
He was asked several times during his trip to Asia whether one should expect companies in Germany to be nationalized, he said at the SPD economic forum in Berlin. “I told everyone: No, this is Berlin nonsense.”
Such debates destroy “this little plant of trust” that we have in Germany as an investment location. If you start with such debates, investors will ask themselves tomorrow whether this could apply to all public services in Germany. “So, I’m really asking you to stop this discussion, it’s harming us,” he said to the Greens and the SPD. Nationalization will not create a single new apartment in Berlin.
SPD leader and Finance Minister Lars Klingbeil had previously rejected the plans of the Left Party, SPD and Greens in Berlin. He also warned at the SPD economic forum that this would deter investors. Both the Chancellor and Vice-Chancellor Klingbeil confirmed that the federal government would present an investment protection law to prevent the plans in Berlin.
The plans in Berlin cannot be implemented anyway. In their explorations at the state level, the Left, the Greens and the SPD decided to socialize corporations with more than 10,000 apartments and to provide up to 16 billion euros for this. Coalition negotiations have been ongoing since the beginning of this week.
Vonovia boss Luka Mucic also sharply criticized the Left's plans on Wednesday morning. “The debate about this alone weakens trust in property, investments and in Germany as a location as a whole,” he warned. “It would be the wrong approach and a dangerous signal for the economic strength of our entire country,” he added. Reliable framework conditions, on the other hand, could mobilize capital for new construction, modernization and climate protection.
On the other hand, corporatization is “simply the wrong approach from our point of view,” emphasized the Vonovia boss. Because such a step would not create a single new apartment. “There is a shortage of around 1.4 million apartments in Germany,” he said: “Many people are desperately looking for a home.” There is only one way out: “We have to build and invest more.” He emphasized that Vonovia is still ready for a constructive and trusting exchange with the Left.
Meanwhile, at the SPD economic forum, Merz praised the coalition partner SPD for the reforms the black-red coalition has already implemented. At the same time, he called for the government to step up its pace. "We really need to pick up a little more speed now. We are a little too slow, a little too sluggish for this development," said the CDU chairman, referring to the very rapid change in the economy.
“The accusation is directed more towards us, against the federal government.” Some companies in traditional industries also made mistakes in their transformation, but there are a record number of start-ups being founded.
Merz called for the pension commission's proposals to be implemented, but at the same time emphasized that they left enough scope for compromises between the coalition partners. “We as a society will have to work more overall,” he also warned.
The problems on the labor market are obvious: “high part-time rates, incentives for leaving the labor market, transfer systems that sometimes even devalue extra work.” He wants a system that rewards willingness to perform.
Merz also warned against postponing reforms with a view to state elections in North Rhine-Westphalia in April 2027. “Fear of state elections is always a bad advisor.”
