(de-news.net) – Electricity tax relief will remain restricted to the industrial sector and agriculture. Following extended negotiations, the coalition of CDU/CSU and SPD failed to reach consensus on a comprehensive reduction of electricity taxes for all consumers. Broader reductions for households and other economic sectors are deferred until “fiscal leeway” becomes available, as outlined in the coalition’s latest resolution which runs counter the initial coalition agreement.

The said impasse emerged despite optimistic pre-meeting statements by Chancellor Friedrich Merz and SPD Secretary-General Tim Klüssendorf, who both expressed expectations of an imminent agreement. The Federal Ministry of Finance estimated that extending the electricity tax cut to all would incur approximately 5.4 billion euros in 2026.

In contrast, tangible progress was achieved regarding pension reform. The coalition agreed to implement an expansion of the so-called Mütterrente on 1 January 2027 – one year earlier than originally anticipated. The amendment extends the credited child-rearing period for the statutory pension to three years for children born before 1992. Should technical delays arise, the change will apply retroactively. This reform is to be financed through tax revenues.