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CDU and SPD Open Würzburg Caucus to Set Reform Course for Welfare, Pensions and Health

An opening caucus now tests whether the coalition can turn Merz’s affordability warning into a shared reform plan.

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Overview

  • Union and SPD begin a two‑day meeting in Würzburg to launch an agreed “autumn of reforms,” seeking a coordinated agenda after weeks of strains over tax and social policy.
  • Bürgergeld changes under discussion include tougher sanctions, reinstating placement priority, tighter housing‑cost rules and ending the asset grace period, with Labor Minister Bärbel Bas due to table proposals in September.
  • A pension package that shields payouts by suspending the demographic factor to 2031 and expands the mothers’ pension faces funding questions, with a commission slated to propose longer‑term fixes from 2026.
  • Health and long‑term care finances are under pressure, with deficits in statutory insurance, a faster health commission timeline sought, hospital specialization plans advancing and a Bund‑Länder “Zukunftspakt Pflege” expected to deliver options this year.
  • Fault lines remain as Greens warn against a “Kahlschlag,” business groups urge limiting benefits and more self‑reliance, and mistrust lingers after the failed constitutional court nomination and a cited €30 billion gap in the 2027 budget.