German Election Debate Intensifies Over Taxing Capital Gains for Social Contributions

Green Party candidate Robert Habeck defends his proposal to fund healthcare through capital gains taxes, facing sharp criticism from CDU's Friedrich Merz and others.

Green Party candidate Robert Habeck has proposed extending social contributions to capital gains, including interest and stock profits, to make healthcare funding more equitable.
Habeck argues the measure would relieve workers by shifting some of the financial burden to those earning from investments, with promises of generous exemptions but no specific figures yet disclosed.
CDU leader Friedrich Merz strongly opposes the proposal, calling it an 'absurd idea' that would discourage saving and harm the capital market.
Criticism of Habeck's plan comes not only from Merz but also from SPD representatives, who describe the proposal as poorly thought out and potentially destabilizing.
The debate highlights broader economic tensions in Germany's 2025 election campaign, with both candidates emphasizing the need for reforms to boost the country's economic potential.