Cuts Proposed
Economy / Finance

Cuts Proposed

The German Finance Minister, Lars Klingbeil, has dismissed calls from CSU leader Markus Söder to abolish social welfare benefits for all Ukrainian refugees. Klingbeil cautioned against using the plight of those fleeing war as a bargaining chip in ongoing budget negotiations.

While the government is actively working on a new system that will prevent newly arriving Ukrainians from being included in the citizen’s income (Bürgergeld) system, as previously agreed upon and outlined in the coalition agreement, Klingbeil stressed the importance of avoiding divisive public debates. He emphasized that solutions should be found collaboratively within the government and not through provocative statements.

“We have agreed and this is also in the coalition agreement, that those arriving from Ukraine will not be incorporated into the citizen’s income system, but that we will organize things differently. We are currently working on this within the government, which will also lead to savings” Klingbeil stated. He added that expecting the issue to single-handedly resolve the substantial budget deficit was unrealistic.

Klingbeil urged for a more constructive internal dialogue within the governing coalition, noting a rising level of internal disputes. He acknowledged ongoing efforts to address misuse of the citizen’s income system and reiterated the government’s commitment to supporting those who have sought refuge in Germany.

Addressing the significant budget shortfall of 34 billion euros, Klingbeil declined to comment on potential tax increases, a topic previously ruled out by Söder. He insisted that a comprehensive approach was needed, highlighting the shared responsibility of the SPD, CDU and CSU.

“It’s about a complete package and we all bear a joint responsibility – the SPD, the CDU, the CSU, including Markus Söder. It’s pointless to discuss individual measures publicly. We should ultimately come to a complete package. Mr. Söder also has a duty in this respect”. Klingbeil concluded, advocating for a less confrontational public debate and a focus on finding collaborative solutions to the nation’s most pressing internal political challenges.