Germany’s largest social welfare association, the VdK, has called for a greater contribution from wealthier citizens towards financing the social state, cautioning against obstructive political maneuvering.
Speaking to the “Neue Osnabrücker Zeitung” (NOZ), VdK President Verena Bentele indicated a need for adjustments to both wealth and inheritance taxes. She specifically proposed increasing taxation on large gifts and inheritances, beginning at a threshold of two million euros and addressing tax loopholes.
Bentele warned against political actors hiding behind the existing coalition agreement, emphasizing that past failures should serve as a cautionary example. She argued that forcing cuts disproportionately on those with limited resources risks undermining social stability.
The VdK also expressed a willingness to engage in compromise concerning upcoming reform efforts. “We need changes. For me, a window is opening for greater tax equity on one hand and reforms on the other” she stated in the interview. However, she criticized the current focus on cuts alone as insufficient to address the challenges at hand.
According to Bentele, the narrative of an excessive welfare state is misplaced. Instead, the concentration of wealth in the hands of a few should be the central focus. She suggested that the wealthiest individuals effectively avoid scrutiny while issues such as the cost of housing for social welfare recipients fuel public frustration.
“Something has gone seriously wrong and needs to be brought into the right light” Bentele urged. She believes that modernizing the state includes a contemporary implementation of the constitutional principle that property entails responsibility. The government should not attempt to circumvent a genuine discussion by invoking the coalition agreement, she added.
