The SPD has rejected the call from Ifo President for a unified increase in value-added tax to 19 percent. SPD Secretary General Tim Klüssendorf told RTL and ntv that such a step would significantly impact many members of the population. He stressed that groups ranging from pensioners to students and apprentices would all be forced to pay more. Klüssendorf argued that this would represent a massive price hike for the majority of people in Germany. Given that the country is already grappling with inflation and widespread concerns over affordability, he stated that further raising prices through higher consumption and sales taxes is something they will not implement. The Secretary General also defended current subsidies and reductions in public transport and cultural activities.
Politics
