FDP proposal for social cuts meets with resistance from the traffic lights
The ruling of the Federal Constitutional Court tears a hole in the budget plans of the traffic light. There is a shortfall of 60 billion euros. Where should savings be made? FDP parliamentary party leader Dürr proposes cuts to social benefits. The SPD and Greens are against this. Democratic cohesion is at risk.
In the debate on the consequences of the Federal Constitutional Court's budget ruling, FDP parliamentary group leader Christian Dürr has spoken out in favor of social cuts - and has encountered opposition from the SPD and the Greens. "The coalition is called upon to find solutions to further consolidate public finances," Dürr told the Funke Mediengruppe newspapers. "We must also discuss where the welfare state can make its contribution to budget consolidation." Dürr added that tax increases were "the wrong way to boost the German economy and make Germany competitive again as a business location".
Federal Economics Minister Robert Habeck called the demands from the FDP a sign of helplessness: "Where do you want to cut 60 billion euros in social benefits? That dramatically misses the dramatic nature of the situation." The VdK social association expressed its alarm: "Hands off the social budget," said VdK President Verena Bentele. "Better no debt brake than a welfare state with the handbrake on. It is outrageous that the FDP is now in favor of plugging the billion-euro gaps in federal finances with cuts in social spending."
Deputy SPD parliamentary group leader Sönke Rix accused the FDP of tampering with the traffic light coalition with such demands. "If the FDP now brings cuts in social benefits into play, it is not only playing with the cohesion in the coalition, but also massively endangering democratic cohesion in our country," explained the Social Democrat. The SPD's Parliamentary Secretary, Katja Mast, told the Augsburger Allgemeine newspaper: "Anyone who hastily calls for social cuts is forgetting what Germany's strength is based on: balancing economic success, climate protection and social cohesion."
Left-wing politician Dietmar Bartsch also reacted indignantly to the FDP's push for social cuts. "We have far too much poverty and far too much wealth in the country, more than ever before. Anyone who would rather talk about social cuts in such a situation than about higher income from the pockets of the moneyed aristocracy is acting irresponsibly in terms of financial and economic policy and coldly in terms of social policy," the former parliamentary group leader told the Funke Mediengruppe newspapers. "The coalition should end the debate fueled by the FDP, otherwise the rejection of the traffic light will boil over."
Social cohesion in danger
Green parliamentary group leader Katharina Dröge also warned the coalition against reacting to the ruling from Karlsruhe with social cuts. "From our point of view, cuts in the social sector are out of the question because this would endanger social cohesion, especially in times of high inflation," Dröge told the Funke newspapers. A reform of the debt brake, on the other hand, would make "fundamental economic sense", Dröge added. "It could also create leeway in the budget by reducing environmentally harmful subsidies."
However, changes to the debt brake have met with resistance from the FDP. The conclusion from the Karlsruhe ruling "cannot be to circumvent the debt brake or attempt to circumvent the debt brake", said FDP Secretary General Bijan Djir-Sarai on Sunday evening on ARD's "Bericht aus Berlin". "We must now take this ruling as an opportunity to strengthen the debt brake." Djir-Sarai added: "A debt policy in this situation would take away our own ability to act in politics, and that would be extremely unwise."
Union demands supplementary budget for 2023
On Wednesday, the Federal Constitutional Court ruled that 60 billion euros in unused credit authorizations for the fight against the coronavirus pandemic may not be retroactively shifted to the fund. The funds had previously been earmarked for numerous climate policy projects. This money is now missing.
However, the ruling is worded in such a way that other so-called special funds such as the Economic and Stabilization Fund (WSF) and special funds of the federal states are also likely to be affected. The CDU/CSU also demanded a supplementary budget for 2023, which was unavoidable, said CDU/CSU deputy parliamentary group leader Mathias Middelberg. The 2024 budget is also unlikely to be ready for approval as it stands." On Tuesday, experts will be heard by the Bundestag's Budget Committee on the consequences of the ruling. Government spokesperson Steffen Hebestreit also referred to the government's ongoing review and therefore did not comment on further consequences.
In response to the Federal Constitutional Court's budget ruling, the SPD and Alliance 90/The Greens have expressed strong opposition to the FDP's proposed cuts to social benefits, fearing it could undermine democratic cohesion. The Left also voiced concern, urging the coalition to consider alternative measures such as taxing the wealthy instead. The CDU, meanwhile, called for a supplementary budget due to the Court's ruling and the likely impact on other special funds. The FDP, however, maintains that the ruling should be used to strengthen the debt brake, opposing any attempts to circumvent it.
Source: www.ntv.de
