A deepening rift threatens the fragile coalition government in Germany as the CDU/CSU’s powerful economic wing openly rejects the SPD’s proposed inheritance tax reforms, signaling a potential breakdown in inter-party relations. The dispute centers on SPD plans to overhaul the inheritance tax system, a move staunchly opposed by the CDU/CSU’s parliamentary circle for small and medium-sized businesses (PKM), which represents over a third of the governing coalition’s members.
Christian von Stetten, chairman of the PKM, condemned the SPD’s proposals as a “frontal attack” on German family-owned businesses, characterizing them as a betrayal of the “coalition peace” declared just last year. Von Stetten argued that the SPD’s plans would effectively cripple these crucial pillars of the German economy. He emphasized that the time for tax increases is inopportune, advocating instead for tax cuts for citizens and businesses to stimulate growth.
The criticism extends beyond mere policy disagreement, with von Stetten accusing the SPD of attempting to leverage populist sentiment – specifically, resentment and envy – to secure victory in upcoming state elections. This charge highlights a growing concern within the CDU/CSU that the SPD’s policies are driven by short-term electoral gains rather than sustainable economic management.
The SPD’s strategy is being viewed with skepticism, as critics question its ability to generate trust and foster a positive atmosphere within the country. The confrontation raises serious questions about the stability of the German government, as the CDU/CSU’s strong stance suggests that significant compromise may be increasingly difficult to achieve, potentially forcing a renegotiation of the coalition’s core principles. The parliamentary circle’s forceful rejection underscores a growing divergence in economic philosophies between the two governing parties, indicating a complex political struggle over the future direction of Germany’s economic policy.
