Kuban Calls on Söder to Drop Mother's Pension III for Major Fiscal Savings
Politics

Kuban Calls on Söder to Drop Mother’s Pension III for Major Fiscal Savings

CDU economic expert Tilman Kuban has urged CSU leader Markus Söder to abandon the proposed Mothers’ Pension III, ahead of the coalition committee discussions. Speaking to Focus magazine, Kuban stated that eliminating budget holes and advancing tax relief presents a significant opportunity for Söder. He suggested Söder could initiate this process by agreeing to forgo Mothers’ Pension III, which would save €5 billion annually. Kuban further proposed that for this to be successful, both the CDU and the SPD should equally contribute their own prioritized projects to the savings pot. If this measure were adopted, the total savings could reach €15 billion.

Looking ahead to potential tax reforms, the CDU politician cautioned against increasing the burden on the middle class. While he acknowledged that high earners have indicated they are willing to contribute if everyone meets their obligations, Kuban stressed the need for careful differentiation. He pointed out that more than 80 percent of businesses are assessed via income tax rather than corporate tax. Consequently, he warned that poorly managed reforms would effectively place an even greater financial strain on the middle class. It is essential, he maintained, to take all measures possible to strengthen jobs in small and medium-sized enterprises and the trades, rather than jeopardizing them. He concluded that a clear distinction must be made between genuinely well-off individuals and the middle-sized companies.