Coalition partners talk about the economic crisis and the budget

(de-news.net) – The traffic light coalition has halted negotiations of the tax package for 2025 coordinated by Federal Finance Minister Lindner (FDP). Talks were broken off last Friday but could continue on Thursday, at the earliest. The Greens do not wish higher earners to be given significant relief. The tax package provides for higher basic allowances and a reduction in the so-called cold progression.

Federal Chancellor Scholz is pushing for more pragmatism. Tasks that need to be solved could also be done on the basis of the coalition agreement, said the Chancellor. He expects everyone to work seriously. On Monday afternoon, Scholz met once again with Federal Economics Minister Habeck (Greens) and Lindner. Today, Tuesday, there will be an initial continuation in the form of three-way talks, and on Wednesday the coalition committee will meet to explore a joint economic strategy.

No results from the Chancellor’s discussions with Lindner, on the one hand, and Habeck, on the other, were conveyed. However, the focus is on both the federal budget and measures to combat the economic crisis. Habeck only said that the Federal Government believes that it would be a very bad time for the traffic light coalition to fail. On the subject of the economy, Habeck said that the so-called growth initiative with up to half a percent growth “is something we can really use”. Green Party deputy Audretsch said of the budget discussions: “The times are too serious for summit ping-pong.” Green Party leader Dröge finally said that Lindner should concentrate on his duties as a minister.

Lindner, on the other hand, stressed that his immediate action proposals must stand and spoke of a decision on direction. SPD General Secretary Miersch emphasized that Scholz had declared securing the German business location a top priority. All members of the federal cabinet must recognize this and support it constructively together.

FDP General Secretary Djir-Sarai insisted that there must be tangible signals next Wednesday for an economic revival based on Lindner’s policy paper, which includes tax cuts, a reduction in social benefits, longer working hours and a postponement of climate targets. FDP parliamentary group leader Dürr described Lindner’s proposals – and a return to market economy principles – as unavoidable, whereas FDP budget politician Klein called for more competitiveness and innovative strength.

The SPD and the Greens are critical of the emergency program. SPD Bundestag member Schwarz insisted that closing of the billion-euro gap in the budget planning for 2025 must be the priority. On the other hand, CDU chairman Merz sees overlaps between Lindner’s positions and those of the CDU and CSU. The Union’s deputy parliamentary group leader in the Bundestag, Middelberg, welcomed the points of the Linder paper on stopping bureaucracy, lowering corporate taxes and restructuring the promotion of renewable energies.

Thorsten Koch

Author: author

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