The budget dispute of the traffic light coalition intensified. SPD parliamentary group leader Rolf Mützenich criticized Finance Minister Christian Lindner (FDP) and at the same time made suggestions as to how new funds could be mobilized in the federal budget.
Due to discrepancies in the coalition, key figures for the 2024 budget have not been decided this year, as is usually the case. The government draft is now due to be approved by the cabinet on June 21 after the tax estimate for May.
Mützenich told the German Press Agency: “I expect seriousness in the deliberations, especially from the cabinet members who are responsible for preparing the budget and who still keep asking for extensive spending requests – while at the same time insisting on the discipline of others . Preaching water and drinking wine don’t go together.”
Linder wants to save and promote
Lindner is demanding an austerity course for the 2024 budget in order to be able to comply with the statutory debt brake. At the same time, he recently campaigned again for a tax growth package that is intended to strengthen the competitiveness and productivity of the German economy. Most recently, Lindner had also suggested, among other things, investment bonuses, tax incentives for research and new depreciation options.
Mützenich said the upcoming budget deliberations were like open-heart surgery. “Accordingly, I expect cooperation and restraint in communication from everyone involved. The challenges that go beyond the annual budget are too great to put individual sensitivities into the room with small coins. The necessary savings will be a tour de force for everyone.”
Mützenich suggested opening the Economic Stabilization Fund. “Of course we have to check exactly where there is potential for savings. But we should also talk about how we can mobilize additional funds from existing reserves. It is important that we invest in the future viability and climate neutrality of our country.” In a climate-neutral world of tomorrow, it will also be about industrial and technical innovations that at the same time secure jobs or create new ones.
Lindner rejected the demand for use of the funds. “Misappropriating the funds that are intended for the crisis, for general purposes, for distribution policy, that cannot make sense and would also be unconstitutional,” he told the Welt television channel.
FDP calls for rethinking
The economic stabilization fund set up during the corona pandemic was reactivated during the energy crisis in order to cushion the consequences. The fund, which has a volume of up to 200 billion euros, is primarily used to finance the electricity and gas price brake. Due to falling prices, however, the financing of the brakes could become significantly cheaper.
The FDP rejected Mützenich’s statements. FDP faction deputy Christoph Meyer told the dpa: “The FDP expects the coalition partners to work for economic growth and jobs.” Because the economy and people financed the welfare state. “Especially politicians who, in positions of responsibility, have experienced the profit from massive increases in tax revenue over the past ten years and have used this for more and more new spending programs, should learn to rethink here.” Meyer also rejected an opening of the Economic Stabilization Fund.
The traffic light has been arguing for a long time about the financing of the planned basic child security. Family Minister Lisa Paus (Greens) would like 12 billion euros to increase benefits for families. The FDP rejects this. Paus told the SWR capital city studio when asked where the 12 billion euros should come from: “The truth is simple, the finance minister wants to spend the money on other things.”