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Coalition Talks Open With Merz Demanding 10% Bürgergeld Savings

A newly revealed 2027 funding gap forces hard choices on welfare, taxes, investment.

Overview

  • Coalition leaders meet at the Chancellery to set the autumn agenda after their initial spring package, with no immediate Bürgergeld decision expected as a commission drafts proposals by year’s end.
  • Friedrich Merz reiterated that at least ten percent must be saved in the Bürgergeld system, roughly five billion euros, calling that the minimum and linking pressure to weak labor-market data.
  • Labour Minister and SPD chair Bärbel Bas rejected claims the social state is unaffordable, labeled them “Bullshit,” and signals any changes would stress stricter participation duties rather than broad cuts.
  • Budget planning points to an estimated 30‑billion‑euro hole in 2027, sharpening debate over savings versus revenue as SPD figures float higher levies on top earners and CDA chief Dennis Radtke backs tougher inheritance and top rates, which Merz opposes.
  • The Greens vowed a “Herbst des Widerstands” against the government’s climate and energy course, criticizing plans to favor fossil gas and to build new gas power plants while urging faster renewables expansion.