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Federal government considers waiver of citizens' income increase unfeasible

The German government has rejected calls for a waiver of the citizen's income increase at the turn of the year as legally unenforceable. The planned increase of twelve processes has already been approved by the cabinet and parliament - and is therefore "applicable law", said a spokesperson for...

Steffen Hebestreit.aussiedlerbote.de
Steffen Hebestreit.aussiedlerbote.de

Federal government considers waiver of citizens' income increase unfeasible

Government spokesperson Steffen Hebestreit made it clear "that there are no plans within the federal government to change the legal situation". The government could not simply postpone or cancel the increase. "It would be against the law to do so," said Hebestreit - and emphasized that the federal government "abides by the law".

The coalition party FDP and the opposition CDU/CSU had previously called for the planned increase in social benefits at the turn of the year to be canceled. They justified this on the one hand with the savings constraints in the 2024 budget and on the other hand with the fact that the increase in rates by twelve percent was based on an inflation expectation, which, however, did not occur at the forecast level.

The basis for calculating the increase in the citizen's allowance is laid down by law. The Federal Ministry of Social Affairs pointed out that it was not the general inflation rate that played a role here, but a "price index relevant to regular needs". Food, for example, for which the inflation rate is above average, is weighted particularly heavily.

In recent months, the price increase in this rule-based index has been three to four percentage points higher than the general price increase in some cases, said the ministry spokesperson. "Of course, this also has an impact on the amount of the update," he added.

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Source: www.stern.de

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