German Economic Institute and Health Insurers Reject SPD's Planned Capital‑Income Health Levy
Politics

German Economic Institute and Health Insurers Reject SPD’s Planned Capital‑Income Health Levy

The criticism of the health surcharge that the SPD plans to levy on capital income shows no sign of easing.
Michael Hüther, head of the Institute of German Economics, told the “Rheinische Post” (Wednesday edition) that the SPD is steering the reform debate in the wrong direction. “The statutory health insurance doesn’t have a revenue problem, it has an expenditure problem” he said, adding that the issue lies in misplaced incentives and mismanagement.

Oliver Blatt, the chairman of the statutory health insurance federation (GKV-Spitzenverband), echoed this view even though the funds would benefit the insurers. He pointed out that, in 2023, the GKV had more than €1 billion available each day to care for Germany’s 75 million statutory insured. “That’s a great deal of money and it should be enough” Blatt said. “What we really need to do now is get the spending dynamics under control, rather than simply raising revenues and further burdening the insured”.