Söder warns against a coalition with the Left Party and calls for energy tax reform
Current developments in federal politics: CSU boss Söder warns in Berlin against alliances with the Left Party, calls for energy tax reforms and the Federal Police Act passes the Bundestag.
Quick Look
- CSU leader Markus Söder warns the SPD and the Greens in Berlin against a coalition with the Left Party and calls for a fundamental reform of German energy taxes.
- The Bundestag also passes the Federal Police Act.
AI-generated summary
Why It Matters
The Bundestag is discussing the federal budget and various legislative proposals, while politicians are arguing about reforms and coalition options.
Eva Glaser
Söder warns the SPD and the Greens against forming a coalition with the Left Party
CSU leader Markus Söder has warned the SPD and the Greens in Berlin against a government alliance with the Left Party. "And my appeal to the Greens and the SPD here in Berlin: to check who you are joining forces with. Whether the two really want to form a government with a left-wing extremist group and even rally behind them," said the Bavarian Prime Minister on the sidelines of a meeting of the Federal Council in Berlin. "The Left Party is deeply anti-Semitic. The Left Party here in Berlin in particular celebrates parties with clan heads. That may be the case in individual cases, but from the citizens' point of view, what is happening here is crazy," emphasized Söder.
Eva Glaser
Söder calls for fundamental reform of energy taxes
CSU leader Markus Söder is calling for a fundamental reform of German energy taxes. “We have to talk about CO2 pricing and all price rules that make energy in Germany more expensive for the state,” said the Bavarian Prime Minister before the meeting of the Federal Council in Berlin. He praised the steps to reduce fuel prices, but emphasized that this could only be a first step. “We have to fundamentally think about how we can permanently reduce energy prices.”
A “large package” is needed that will provide lasting relief from high energy prices, said Söder. It cannot be the case that German politicians vacillate every three months as to whether they should intervene or not. Instead of another “one-off operation,” what is needed is a fundamental, long-term regulation. "Because the world situation is what it is. There is no indication that everything will automatically ease in the next few months." But refueling must be affordable again in Germany.
Eva Glaser
States in the Federal Council against higher taxes
There is resistance from the federal states to planned higher taxes on tobacco, alcohol and sparkling wine. At the first discussion of the federal budget for the coming year and further financial planning in the Bundesrat, Hesse's Prime Minister Boris Rhein (CDU) said: "Anyone who plugs budget holes with tax money and tax increases is making it too easy for themselves." In particular, a tax increase on sparkling wine would hit Hesse particularly hard as a wine country.
Rhein rejected a sugar tax as a “burden for medium-sized beverage manufacturers”. Rhein stated: “I reject the tax increases that are planned.” Otherwise the price crisis will become “a serious political crisis”. Thuringia's Finance Minister Katja Wolf criticized that high incomes, corporate profits and high assets were spared.
The Bundestag discussed the budget for the first time at the beginning of September. Finance Minister Lars Klingbeil (SPD) is planning to spend 555.4 billion euros - slightly more than this year. In the core budget alone, debts of 118.7 billion euros are to be incurred. There are also new loans from the special funds for infrastructure and climate neutrality as well as for the Bundeswehr. A new plastic tax as well as a higher tobacco, alcohol and sparkling wine tax are expected to bring more money into the coffers in the coming years. A sugar tax is also planned - but details are still open.
Luke Bay
Bundestag passes federal police law after new vote
After a voting mishap, the Bundestag approved the Federal Police Act with expanded rights for officers in the second attempt. The absolute majority voted in favor of the project in a roll-call vote on Friday. The vote had to be repeated after the Bundestag passed a resolution with a simple majority in the summer. It subsequently turned out that the law required the so-called Chancellor majority. It will also pass the Federal Council on Friday, which is considered certain. The project does not require approval.
The Federal Police Act stipulates that the federal police are given more rights in the border area and when using and defending against drones. The federal police are primarily supposed to guard train stations and railway facilities, but also the government district in Berlin and the Constitutional Court in Karlsruhe. In addition, it should be given more powers in law enforcement and in combating illegal migration.
Luke Bay
AfD expands its lead over the CDU in the federal government
According to a survey, the AfD has increased its lead over the CDU/CSU at the federal level. If there were a federal election next Sunday, the AfD would get 28 percent, one percentage point more than last, ZDF said in its “Political Barometer”. The CDU/CSU would lose one point to 21 percent. The Greens remained unchanged at 14 percent, the SPD improved by one point to 13 percent, and the Left remained at 12 percent. The FDP loses one point to three percent. All other parties would remain unchanged at nine percent. There is no party among them that would achieve at least three percent.
Citing the survey, it was also said that only 28 percent of those surveyed believed that Chancellor Friedrich Merz would largely succeed in continuing his reform course. 85 percent would consider fundamental reforms, which would also lead to financial burdens and cuts, to be important. 65 percent did not believe that Merz would remain Chancellor until the next regular federal election in spring 2029. 79 percent said Merz was doing a rather poor job as Chancellor.
Tim Seckel
Economists criticize “unclear economic policy”
Germany's leading economic researchers criticize the federal government's "unclear economic policy" and call for the announced reforms in the areas of pensions, health and bureaucracy to be continued. Stefan Kooths, head of the forecasting center at the Kiel Institute for Economic Research, criticized on Thursday that reform packages were announced and changed every month. This unsettles investors and the population and leads to reluctance to spend and invest. “We need a climate in which people have confidence again that things are moving forward sensibly in this country again,” said Oliver Holtemöller from the IWH.
He went on to say that economic researchers do not see themselves in a position to recommend or reject individual political ideas such as the end of the “retirement at 63” option. What is clear, however, is that pension spending puts a strain on the federal budget and, in the long term, means that higher debts also drive up interest costs and put a strain on the financial stability of the federal finances.
The “need for consolidation” is currently only being postponed into the future, so that more and more savings will have to be made in the coming years. “Investors also see that,” said Kiel economist Kooths.
Sabrina Frangos
Weber: CSU is “as clear as day” behind Merz
CSU Vice Manfred Weber calls for an end to the personnel debates about Chancellor Friedrich Merz. "He's elected, he should do his job. He has the backing. And now let's implement the reforms," said Weber on the ZDF program "Markus Lanz". Regarding the debate about a chancellor swap, the MEP emphasized: “It is not up for debate.” When asked by the moderator whether the CSU was fully behind Merz, Weber replied: “It’s crystal clear to me.”
Weber warned that we should now concentrate on the upcoming reforms. Many Union voters would be alienated if we did not implement now what was agreed before the summer. Many people were waiting for something to happen now. “That’s why I think it’s right that everyone pulls together now and finally does what we promised.”
Patricia Hoffhaus
Linnemann against further extension of children's sick days
Federal Health Minister Carsten Linnemann has spoken out against further extending the period during which parents are entitled to child sickness benefit. “This is a rule that we introduced during Corona,” said the CDU politician in the government survey in the Bundestag. He added that politicians would do well “to ensure that special rules that existed for Corona are withdrawn.”
According to a legal stipulation, an extension applies this year - namely 15 days per child and parent and 30 days for single parents. After the end of special regulations in the Corona crisis, the longer period of 15 days had already been extended by law for 2024 and 2025. Previously there were 10 children's sick days per year per parent.
Patricia Hoffhaus
Ex-judge Di Fabio open to office of Federal President
Former Federal Constitutional Judge Udo Di Fabio is open to taking over the office of Federal President. He said this in a podcast from the “Frankfurter Allgemeine Zeitung”. “When this republic calls for office, as a constitutional lawyer, as a constitutional lawyer, you don’t say no,” said Di Fabio. As several media reports, Di Fabio is considered a possible candidate in the CDU.
Di Fabio, now 72 years old, was a judge at the Federal Constitutional Court in Karlsruhe from 1999 to 2011. The lawyer currently teaches at the University of Bonn. Frank-Walter Steinmeier has been German Federal President since 2017. On January 30, 2027, the Federal Assembly will meet to elect a new head of state.
Tim Seckel
Care reform is due to come to the cabinet at the end of September
CDU Health Minister Carsten Linnemann wants to bring the care reform planned by the black-red coalition to the federal cabinet next week, said a spokesman for the ministry in Berlin. Neither he nor government spokesman Stefan Kornelius wanted to give details. Linnemann had announced that he would largely adopt the concept of his predecessor Nina Warken (CDU), but wanted to change at least one point. The CDU politician emphasized in a survey in the Bundestag that the subsidy for pension insurance for caring relatives should not be reduced. “There can’t be any compromises.”
However, it was still unclear how this would be financed. There should be clarity on September 30th. Linnemann said that there are constitutional concerns about requiring private nursing care insurance to make a financial contribution to stabilize statutory nursing care insurance.
Tim Seckel
Linnemann: Citizens' insurance would not solve problems
The new Health Minister Carsten Linnemann (CDU) emphasized in the Bundestag that Chancellor Friedrich Merz had not spoken out in favor of abolishing the separate systems of statutory and private health insurance. Merz's words on Monday highlighted the problem of unequal waiting times for patients - the federal government is now tackling this problem. Merz had spoken of a “justice problem” with the different waiting times without elaborating further.
Linnemann added that merging the two systems would not solve the health care cost problem. In the current year alone, costs have increased by seven percent, across both systems.
Imago
Carlotta Moreno Lara
Cabinet approves roadmap for phasing out fossil fuels
According to media reports, the Federal Cabinet has set the German roadmap for phasing out fossil fuels. Federal Environment Minister Carsten Schneider wants to present the document on Wednesday at the UN General Assembly in New York, as “Spiegel” and “politiko” reported on the same day, citing a corresponding government draft. The federal government is thus determining how it wants to reduce carbon dioxide emissions from coal, oil and natural gas to zero by 2045.
The step comes against the background of domestic political debates: there are also calls within the coalition's ranks to slow down the switch to electric cars and heat pumps or to weaken CO2 pricing. “The current world situation is bringing new dynamics to international climate protection policy,” the SPD politician told “Spiegel” with a view to high fuel prices.
Julius Stockheim
JU boss becomes Union parliamentary group vice-president for labor and social affairs
The Union parliamentary group in the Bundestag has elected Johannes Winkel as one of its deputy chairmen. The 34-year-old CDU MP, who also heads the youth organization Junge Union, will be responsible for the areas of work and social affairs, employees, sport and volunteer work, as the parliamentary group announced. He succeeds Carsten Linnemann, who became Minister of Health in July and therefore gave up the parliamentary group office.
Julius Stockheim
Union dampens expectations for major reform of private health insurance
The Union has dampened expectations of a comprehensive reform of private health insurance. CDU/CSU parliamentary group leader Thorsten Frei and CSU regional group leader Alexander Hoffmann rejected the impression spread by some media that Chancellor Friedrich Merz was planning to merge private and statutory health insurance.
Merz never said that, emphasized Hoffmann and Frei. The Chancellor only addressed the problem of making appointments for those with statutory health insurance, said the CSU regional group chairman. SPD parliamentary group leader Matthias Miersch spoke of a new “momentum to get things started structurally, at least to have more justice”.
Lara Dehari
SPD: “The fuel discount works according to the watering can principle, but it works quickly”
The SPD has defended the renewed fuel discount against criticism and does not expect the Union to take cross-talk against the price cap that was also agreed upon. The black-red coalition had the choice between instruments that had an immediate effect but were not as precise, or more precise measures that took longer, said SPD parliamentary group vice-president Armand Zorn on Tuesday in Berlin. "We now want to have relief at the petrol pump. The fuel discount works according to the watering can principle, but it works quickly."
Zorn said that it was not just about quick help, but also about the “far too high margins” of the oil companies that had to be squeezed. To this end, the price cap should be introduced by the beginning of 2027 at the latest without endangering security of supply.
Lara Dehari
Söder is strictly against the new health insurance system
CSU boss Markus Söder strictly rejects a fundamental reorganization of the system of statutory and private health insurance. "This is a completely wrong approach. I would have personally prevented this," he said at a CSU parliamentary group meeting in Banz Monastery in Upper Franconia.
Julius Stockheim
Kremlin is impressed by the AfD and open to talks
After the AfD's election successes, Russia is open to talks with the party. The Alternative for Germany's statements about resuming relations with Russia “impress us,” said
What to Watch
AI outlook — possibilities, not facts
The Federal Police Act will pass the Federal Council.
Very likely · Within days
The nursing care reform is due to come to the cabinet at the end of September.
Likely · Within weeks
Open Questions
- What will the financing of the nursing care reform actually look like?
- When exactly will the fuel discount or price cap be implemented?

