Budget: SPD parliamentary group develops reform of the debt brake

Household
SPD parliamentary group is working on reforming the debt brake

SPD parliamentary group leader Rolf Mützenich draws a clear red line when it comes to possible cuts in the social system. photo

© Michael Kappeler/dpa

The budget situation is tense. In view of additional investments, defense spending and aid for Ukraine, the SPD parliamentary group wants to develop a reform of the debt brake.

The SPD parliamentary group is having a highly controversial project drawn up within the coalition: a reform of the Debt brake in favor of investments. Parliamentary group leader Rolf Mützenich told the Berlin “Tagesspiegel” that a steering group had been set up for this purpose on Monday. The FDP rejects a fundamental reform of the debt brake.

The background is the continued tight budget situation and the need for additional investments, defense spending and aid for Ukraine. The SPD parliamentary group leader drew a clear red line regarding possible cuts in the social system.

The SPD “will not allow aid for Ukraine to be played off against support for workers, against pensions, against social security or even the fight against climate change,” said Mützenich.

Mützenich: No reduction in social rights for employees

Last week, Chancellor Olaf Scholz (SPD) told the “Süddeutsche Zeitung” that “the vast majority” would understand if money spent on defense was “missing for other things.” Mützenich now said that this does not apply to social benefits. It can still be relied upon that the SPD will not lead to any reduction in social rights for employees.

The Greens also rejected cuts in social benefits. “Cuts in social services endanger social cohesion and are economically damaging,” said parliamentary group leader Katharina Dröge to the paper. But she also pushed for more investment in the “future of Germany as a business location”.

dpa

source site-3