Dispute over budget planning: Union faction demands honest numbers

Dispute over budget planning: Union faction demands honest numbers

challenges in budget consultations in the federal government

of dpa

10. August 2024, 4:33 am

Mathias Middelberg (CDU) expresses concerns about the current budget planning in the Bundestag. (Photo: Lucas Röhr/dpa)

criticism of financial planning

In the middle of the upcoming budget consultations for 2025 in the Bundestag, a leading member of the Union faction, Mathias Middelberg, has sharply criticized current financial planning. He demands an honest and realistic planning from the coalition parties before a discussion about the household can take place. Middelberg described the assessment of Federal Minister of Finance Christian Lindner (FDP), according to which only a financing gap of five billion euros had to be closed as "far from reality". Instead, according to his assessment, at least 13.4 billion euros would have to be raised, and that was already an optimistic assumption.

prospects for problematic budget consultations

The position of Middelberg is particularly important because the financial framework of the budget budget could have far -reaching consequences for the coming years. In the case of a global minor edition, which plays an important role in the household, savings are planned, without showing in the individual household titles where these are to be saved in concrete terms. Traditionally, less expenditure of one to two percent was common, but Middelberg notes that the current planning is significantly higher.

increasing expenses and economic uncertainties

In addition, higher center drains have already been determined than assumed this year, which increases the uncertainty about the realizability of the planned expenses - for example for the citizens' allowance. Instead of the 45 billion euros planned for 2025, Middelberg rather expects expenditure of 50 to 55 billion euros, especially against the background of impending economic recession and increasing unemployment.

call to postpone the household week

In view of the challenges described, Middelberg calls for a shift in the first reading of the budget in the Bundestag planned for September. He fears that without a significant reduction in the planned less expenditure, a proper discussion about the budget is not possible. This could mean that the coalition is under significant pressure to create clear and realistic financial guidelines by the middle of August.

The dispute of the traffic light coalition

The internal conflict within the traffic light coalition (consisting of SPD, Greens and FDP) about the financial orientation of the Federal Balance has recently gained intensity. Lindner had commissioned reports that clarify both his concerns regarding legal and economic issues, but also show approaches how certain financial measures could be implemented. The fears of possible financing gaps and the economic framework will significantly shape the political debates in the coming weeks.

Overall, it can be seen that the upcoming budget consultations are not only a financial but also a political effort, the outcome of which will be of crucial importance for the government coalition.

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