Government - Further talks on the 2024 budget
The German government continued to struggle over the budget for the coming year on Wednesday. The round of negotiations between Chancellor Olaf Scholz (SPD), Economics Minister Robert Habeck (Greens) and Finance Minister Christian Lindner (FDP) has not yet reached an agreement. However, according to dpa information, the talks should continue after the cabinet meeting on Wednesday.
Green Party Chairwoman Ricarda Lang said in an interview with BR this morning: "I do not assume that a new draft budget will be approved by the cabinet today, but that a political decision will follow very soon." A cabinet referral on Wednesday had been targeted, at least internally, by the traffic light coalition in order to adopt the budget before the end of the year. However, it is also possible for a decision to be made by circular resolution, i.e. in writing.
It remains to be seen whether the agreement between the three leading politicians will also be discussed in a coalition committee, i.e. in a larger meeting with the party leaders. In any case, the Budget Committee and only then the Bundestag would also discuss it, the latter probably in a special budget week directly before Christmas. The Bundesrat could approve the plans on December 22. However, it is also conceivable that only the Budget Committee will discuss the matter before Christmas - and the Bundestag will then only adopt the budget in January.
Lindner: Constructive talks
Lindner puts the gap in next year's budget at 17 billion euros. Among other things, it is due to the Karlsruhe budget ruling and the effects on various credit-financed special funds. In addition, the planned reduction in the electricity tax to relieve the burden on the manufacturing industry and the increased level of basic income support will also have an impact. The draft budget from last summer would therefore have to be updated anyway.
Savings in various areas are now being discussed, as is the renewed suspension of the debt brake for 2024. The modernization of the country, the development towards a climate-neutral economy, must not be stopped, emphasized Lang. "After all, this is about nothing other than jobs, prosperity and security for our citizens."
However, there will only be solutions if each of the three partners makes a move. The aim is to prevent a national crisis. The red line for the Greens, however, is to make savings for the poorest.
Debate on emergency resolution
In an interview broadcast by BR on Tuesday evening, Lindner spoke of constructive talks in the tripartite round. "We will submit proposals very soon," he said. The SPD and the Greens are insisting on a swift conclusion - and he would like to make this possible. "However, one thing is clear to me: tax increases must remain out of the question," Lindner emphasized. On the other hand, he sees potential for savings in social spending, for which the federal government spends 45% of its budget.
Lindner also said that he was not yet convinced by the arguments for a new emergency resolution to suspend the debt brake in 2024. The SPD and the Greens are currently arguing for this.
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- The disagreement over the budget for the next year persists within the German Federal Government, comprising Chancellor Olaf Scholz from the SPD, Economics Minister Robert Habeck from the Greens, and Finance Minister Christian Lindner from the FDP.
- Ricarda Lang, Chairwoman of the Green Party, suggested in an interview with BR that while a new draft budget may not be approved during the cabinet meeting, a political decision is imminent.
- The proposed target for a cabinet referral to approve the budget before the end of the year by the traffic light coalition might not be met, and a decision by circular resolution is also plausible.
- The large coalition committee, involving party leaders, could discuss the agreement between the three leading politicians, followed by the Budget Committee and ultimately the Bundestag.
- The Bundestag is expected to address the budget in a special budget week close to Christmas, with potential approval by the Bundesrat on December 22.
- Christian Lindner, the Finance Minister, considers the gap in next year's budget to be 17 billion euros, with factors such as Karlsruhe budget ruling, reductions in electricity tax, and increased basic income support contributing to this.
- In a joint effort, the three political parties are considering potential savings across various sectors to bridge the budget gap while ensuring progress toward a climate-neutral economy and job security for citizens.
- Robert Habeck, the Green Party Co-Leader, emphasized the importance of prioritizing savings for the most vulnerable households to prevent a national crisis.
- Amid ongoing negotiations, Lindner expressed optimism about the constructive dialogue with the SPD and Green Party leaders, while maintaining his stance against tax increases and exploring potential savings in social spending.
Source: www.stern.de
