Overview
- SPD parliamentary leader Matthias Miersch says talks are showing "movement" and that the SPD wants the electricity tax cut to apply to both households and businesses.
- The SPD-led Federal Ministry of Finance insists any cut must be offset by measures that fully cover the cost.
- Budget negotiators from the Union and SPD failed to agree on roughly €5 billion in counter-financing during 2027 budget talks, leaving a central funding gap.
- Miersch says the SPD has proposed several counter-financing options and that the Union appears to be shifting in response.
- Chancellor Friedrich Merz has put the issue on the agenda for the coalition committee meeting next week, which could decide whether and how the cut is adopted and what offsets are used.