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Bundestag suspends debt brake again in 2023 and adopts supplementary budget

Debt brake suspended for the fourth time in a row and supplementary budget for 2023 adopted: At the request of the traffic light government, the Bundestag drew the consequences of the Constitutional Court's budget ruling on Friday. The opposition not only continued to express doubts about the...

View into the plenary of the Bundestag.aussiedlerbote.de
View into the plenary of the Bundestag.aussiedlerbote.de

Bundestag suspends debt brake again in 2023 and adopts supplementary budget

FDP budget politician Otto Fricke defended the approach of the "Ampel" coalition to the 2023 budget. As a result of the budget ruling, billions in aid originally financed via special funds would have to be transferred to the regular budget due to rising energy prices and the flood disaster in the Ahr valley.

The "traffic light" explicitly justified the suspension of the debt brake in the resolution that has now been passed with the consequences of the Ukraine war on the energy markets and the Ahr valley flood. While there were no dissenting votes from the SPD, Greens and FDP, the CDU/CSU and AfD voted unanimously against in the roll-call vote.

With regard to the financing of the aid payments, it is important "that people have clarity", said Green politician Sven-Christian Kindler, emphasizing that the CDU/CSU-led state governments in Saxony-Anhalt and Schleswig-Holstein also suspended the debt brake again following the budget ruling. At federal level, on the other hand, the CDU/CSU relied on "destructive populism", criticized SPD politician Denis Rohde.

Union parliamentary group leader Thorsten Frei (CSU) said that the Federal Constitutional Court had declared a "trick" by the "traffic light" government null and void, with which it had "snatched tens of billions more". CDU budget expert Mathias Middelberg said that the CDU/CSU still had "constitutional concerns" about the approach now chosen, as other special funds would continue to bypass the regular budget.

AfD MP Peter Boehringer called the 2023 budget "still simply unconstitutional". The traffic light coalition subsequently declared an emergency at the end of the year to suspend the debt brake, which nobody had previously noticed. Ultimately, Federal Finance Minister Christian Lindner (FDP) is thus creating the conditions to suspend the debt brake next year as well.

The CDU/CSU accused the SPD, Greens and FDP of massively burdening citizens with additional levies and taxes as a result of their agreement on the 2024 budget announced this week. The resolutions were "not a good compromise", said Middelberg, but rather an attempt to "mend the rift in this traffic light".

The coalition is using the higher increase in the CO2 tax to 45 euros per tonne as an "instrument to cash in on citizens", said Middelberg. However, the climate money promised as compensation at the start of the "traffic light system" still does not exist.

The CO2 price increase was passed by the Bundestag on Friday as part of the Budget Financing Act, and shortly afterwards by the Bundesrat. The tax increase, which will apply from January, will make fuel and heating more expensive than previously planned.

In the debate, Left Party politician Gesine Lötzsch called for the debt brake to be abolished. It was "a brake on the future", she said. Former Left Party member Sahra Wagenknecht accused the coalition of "dubious budget management" at the expense of citizens. "No, the traffic light is not in an emergency situation," she said. "The traffic light is the emergency situation for our country!"

The weeks-long budget dispute in the coalition has apparently also left its mark on voters. In the ZDF "Politbarometer" published on Friday, the "traffic light" government is performing worse than ever before after two years in government. Only 27% of respondents said that the government was "doing a good job" - around half as many as in mid-March.

Read also:

  1. Following the budget ruling, Bundestag decides to suspend the debt brake again in 2023 and adopt a supplementary budget.
  2. FDP budget politician Otto Fricke supports the "Ampel" coalition's approach to the 2023 budget, despite concerns about transferring aid funds.
  3. The CDU/CSU-led state governments in Saxony-Anhalt and Schleswig-Holstein also suspend the debt brake after the budget ruling, citing similar reasons.
  4. SPD politician Denis Rohde criticizes the CDU/CSU's approach as "destructive populism" in response to their actions at the federal level.
  5. According to CDU budget expert Mathias Middelberg, the Federal Constitutional Court has declared the Traffic Light coalition's approach to bypassing the regular budget through special funds as unconstitutional.
  6. AfD MP Peter Boehringer calls the 2023 budget "still simply unconstitutional," echoing Middelberg's concerns.
  7. Christian Lindner, FDP's federal finance minister, creates conditions to suspend the debt brake once again in 2024, following the coalition's emergency declaration.
  8. The CDU/CSU accuses the SPD, Greens, and FDP of burdening citizens with additional levies and taxes due to their agreement on the 2024 budget.
  9. Mathias Middelberg considers the CO2 tax increase to 45 euros per tonne not as a good compromise but an attempt to "mend the rift" within the Traffic Light coalition.
  10. The climate money promised as compensation at the start of the "traffic light system" still does not exist, despite the implications of the CO2 tax increase.
  11. Left Party politician Gesine Lötzsch demands the abolition of the debt brake, viewing it as a "brake on the future," while Sahra Wagenknecht accuses the coalition of dubious budget management at the expense of citizens.

Source: www.stern.de

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