The Budget Financing Act is an important building block in resolving the budget dispute. Contrary to what the traffic light parties had hoped, it will be delayed. The Union in the Federal Council has ensured this.
Tomorrow the Federal Council will not deal with the budget financing law planned by the federal government. The law is not on the agenda of the state chamber on Friday, as a spokesman for the Federal Council said.
The Union-led states refused to put the law on the agenda for Friday as an urgent procedure. As can be heard from the state representation of the Free State of Saxony, the states want the federal government to approach the farmers again on the issue of agricultural diesel.
The next regular meeting is scheduled for March 22nd. The law is due to be passed by the Bundestag on Friday, then it will be sent to the Bundesrat and discussed in specialist committees.
FDP speaks of “absurdity”
The Budget Financing Act regulates necessary legal changes, the effects of which are already taken into account in the draft budget. For 2024, it envisages, among other things, a higher aviation tax, possible sanctions for citizens’ money and the gradual reduction of benefits for agricultural diesel. The last point was the reason for the delay in the Federal Council, according to AFP from Union circles.
The budget spokesman for the FDP parliamentary group, Christoph Meyer, criticized the Union’s approach as an “absurdity”. The 2024 budget will pass the Federal Council on Friday anyway; the delay in the budget financing law will not change that, Meyer told AFP. “The uprising by the CDU and CSU is hypocritical and only aims at a cheap effect.”
There would be no legal basis
The Federal Council does not have to agree to the law, but could object and appeal to the mediation committee. However, in many states there are coalition governments with traffic light parties – and if a state government disagrees, the state must abstain from the Federal Council.
The actual 2024 federal budget is scheduled to be passed tomorrow as planned – but due to the delay in the adoption of the Budget Financing Act, the legal basis for financing some items in the federal budget is missing.