New Budget Cuts Miss Target for Stable Insurance Premiums
Politics

New Budget Cuts Miss Target for Stable Insurance Premiums

The federal government is revising its proposed health reform, revealing significant changes just one day before its planned adoption by the cabinet. A newly circulating draft reduces the estimated savings volume for 2027 to €16.3 billion, a notable decrease from the €19.6 billion figures presented in the public draft in mid-April.

However, according to previous ministry calculations, this reduced figure is still considered adequate to bridge the funding gap required for maintaining a stable supplementary contribution rate of 2.9%. Back in mid-April, projections indicated that only a saving of €15.3 billion would be necessary for this goal.

Though the reform package is expected to show larger increases in “total relief” between 2028 and 2030, the proposed savings volume for 2030 has also been lowered, now estimated at €38.3 billion, compared to the initial projection of €42.8 billion.

The primary concern, however, remains the funding gap itself. Calculations from mid-April show that the projected gap for 2030 stands at €40.4 billion, demonstrating that the revised and weakened reform plan would fail to close this critical financial gap.

The overall reform package, which Health Minister Nina Warken (CDU) intends to implement, is designed to incorporate most of the 66 recommendations put forth by an expert commission aimed at stabilizing contributions within the statutory health insurance system. It has faced constant criticism from nearly all sectors, notably from social associations, the coalition partner SPD, and even some internal Union politicians.