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BackCompromises on the budget: Satisfied SPD, grumbling in the Union
Compromises on the budget: Satisfied SPD, grumbling in the Union
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Tagesschau Inland16 minutes agoPolitics2 min readGermanyView original

Compromises on the budget: Satisfied SPD, grumbling in the Union

Special meetings of the SPD and the Union on a budget compromise. While the SPD finished after 45 minutes, the Union sat together for three hours.

Quick Look

  • After long special meetings between the SPD and the Union on the budget compromise, the first results are emerging.
  • While the SPD records successes in social benefits, the Union celebrates avoided taxes.
  • There is still a dispute about reducing the electricity tax.

AI-generated summary

Why It Matters

The Union and SPD are negotiating the federal budget and have already saved billions.

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Special meetings of the parliamentary groups: The SPD was finished and satisfied after 45 minutes. The Union sat together for three hours. The faces afterwards looked less satisfied.

Outside the door there were soothing statements about the fierce negotiations for a budget compromise: "Of course we get the crooked dogs on the table," says Union parliamentary group leader Thorsten Frei. That means: A lot is undisputed. "That's why you shouldn't give in to the impression that - if we talk about the difficult things now - everything would be difficult."

The attempt to radiate normality

But some things still remain complicated. Thorsten Frei (CDU), Alexander Hoffmann (CSU) and SPD parliamentary group leader Matthias Miersch tried late in the evening to radiate something like normality, according to the motto: 'Keep going, there's nothing to see here'.

“What we are currently experiencing is a normal process,” says Miersch. And the bosses had a lot to do: "It was our job, as I call it, to clarify large chunks in advance. And we succeeded in doing that," he adds.

No plastic tax in 2027 - a success for the CDU/CSU

What was successful? From the Union's perspective, the main aim was to prevent or delay new taxes. Thorsten Frei announces successes: "That's why it was important to us that there is no plastic tax in 2027."

The sugar tax will not come until January 1, 2028. The increase in the sparkling wine tax will no longer apply - a wish of the CSU in the interests of German winemakers. The SPD, in turn, had a different requirement: “It is important and necessary that we also carry out a justice check in these times,” said Miersch.

As a result, the immediate child supplement remains and will not be eliminated. The maintenance advance for single parents remains, the parental allowance remains with new modalities, and the housing benefit remains. Some in the SPD parliamentary group were quite surprised at how much they were able to get through.

Merz's wish has not yet been fulfilled

One of Chancellor Friedrich Merz's particular wishes is to reduce the electricity tax - but there was no solution to the controversial issue: "It has not yet been possible to find appropriate counter-financing for this in the budget," says Union parliamentary group leader Frei. This would require five billion euros.

SPD parliamentary group leader Miersch puts it more pragmatically with regard to electricity tax and the reduction of cold progression. "That's all desirable, but I have to finance it solidly."

The Union and SPD have saved 34 billion so far. CSU regional group leader Hoffmann finds this coalition quite successful for this reason: "And today, various institutes are already certifying that this is a real consolidation budget for the first time since 2009, which also includes real, structural savings contributions."

The budget committee's adjustment meeting will follow today, probably until late at night or early in the morning. Maybe the five billion for reducing the electricity tax will show up.

What to Watch

AI outlook — possibilities, not facts

  • Clean-up meeting of the Budget Committee takes place

    Very likely · Within hours

Open Questions

  • Will there still be an agreement to reduce electricity taxes?
  • What is the outcome of the cleanup session?

Related Topics

This article was originally published by Tagesschau Inland.

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