Overview

• Targets include cutting bureaucracy costs by 25 percent, or about €16 billion, and reducing the federal workforce by roughly 8 percent on defined timelines.
• The agenda names 23 priority projects such as nationwide online vehicle registration via the Kraftfahrt-Bundesamt, a 24-hour company-formation portal, and AI-supported processing for visas plus decision aids in administration and courts.
• The cabinet also adopted action plans for a fusion power initiative and faster hydrogen deployment and backed a housing “Bau-Turbo” to shorten planning and reduce costs.
• Delivery tools feature a digital Work-and-Stay agency to streamline skilled-immigration steps, a direct-payment system for federal benefits, and work toward a state digital wallet for credentials.
• Implementation now hinges on legislation, coordination with Länder and municipalities, and AI safeguards as business groups offer conditional support, the Greens call the plan vague and underfinanced, and Merz presses EU deregulation in Copenhagen.