(de-news.net) – The SPD intends to campaign for the Bundestag election with proposals to solidify rent control and to alleviate taxes: The social democrats also want to provide more support to young families, to secure state pensions, to cap care costs, and to promote investment.
According to a media report, the party’s election program, to be unveiled next week, includes a care cap that would limit the personal contribution for long-term residential care to a maximum of 1,000 Euros per month. This measure would alleviate the financial burden on residents by nearly 700 Euros on average.
SPD General Secretary Miersch stated that he intends to make the stabilization of the pension level at 48 percent a condition for any coalition agreement. Within the first 100 days of a new government, the SPD plans to secure the pension level to prevent cuts.
The SPD intends to provide tax relief to 95 percent of taxpayers. The specifics remain unclear, however, among the proposed measures is a reduction in the value-added tax on most food items from seven to five percent. Concurrently, the SPD aims to impose higher taxes on individuals with assets exceeding 100 million Euros. Additionally, the party seeks to reform the taxation of inheritances, real estate gains, and financial transactions.
The SPD also plans to make permanent the previously temporary rent control measure. The party’s election program proposes to help bring about stable and affordable rents in tight housing markets. The party aims to limit rent increases to a maximum of six percent over three years in areas with tight housing markets and extend the rent index consideration period to ten years, including price-bound housing. The SPD aims to prevent circumvention of the rent cap through furnished or temporary housing offers. Additionally, the party proposes linking index rental contracts to net cold rents rather than inflation rates and curbing the misuse and vacancy of housing through short-term rentals.
More generally, the SPD seeks to reestablish the state as a central actor in housing policy, addressing the acute housing shortage with an “investment, tax, and deregulation offensive” and accelerating planning and approval processes. A week ago, the red-green minority government had approved a legislative proposal to extend the rent control measure until the end of 2029. It remains uncertain whether this proposal will secure a majority in the Bundestag.
The SPD also plans to provide greater relief for young families should the party participate in a future government. The party’s election program includes reforms to improve the balance between family and work and promote equality in partnerships. The SPD proposes extending parental leave duration and offering more flexible distribution, increasing the parental allowance to 80 percent of net income for six months if both parents share the leave equally. The party also plans to extend protection against dismissal after parental leave to three months and reform maternity protection to better support women after a miscarriage.
Additionally, the SPD proposes a “family start time” allowing fathers or partners to take two weeks off with full wage compensation after the birth of a child. This initiative, previously proposed by Green Family Minister Lisa Paus, was not enacted due to funding concerns raised by the FDP. The SPD aims to give parents more time for family life and promote partnership via daily routines.
To boost investments in electricity and heating networks, charging stations, and housing construction, the SPD proposes establishing a “Germany Fund” to finance equity and loans. The state would contribute 100 billion euros, funded through credit but classified as a financial transaction outside the debt brake. The fund would also be open to private capital from sources such as insurance companies and pension funds. Finally, the SPD plans to introduce an investment premium: investments in machinery and equipment would be supported with a tax rebate amounting to ten percent of the purchase price.
