"Pack the heating law, then you'll have enough money"

"Make the necessary adjustments, and you'll have sufficient funds"

The coalition government's supplementary budget has progressed to the German Bundestag, with Finance Minister Lindner advocating for its approval to rectify constitutional breaches.

Following the Constitutional Court's decision two weeks prior, it emerged that the coalition could no longer bypass the debt brake. The union parliamentary group's Mathias Middelberg argued that the coalition had manipulated the budgeting process in the past, provoking derisive laughter among the opposition. However, everyone agreed that the supplementary budget, totaling 17 billion euros, would likely pass – despite the questionable justification and potential legal action from the CDU/CSU.

Middelberg called on the coalition to find savings before attempting to bypass the debt brake again. A CDU budget minister, he proposed that they should revisit the warming law to generate additional revenue. Meanwhile, in Schleswig-Holstein, a natural disaster had forced the CDU's own Minister President Daniel Günther to declare a budget emergency.

CDU politician and Hamburg's Governing Mayor, Kai Wegner, went a step further; advocating for reforming the debt brake entirely. The CDU is typically reluctant to favor such a change but has not ruled it out entirely. Meanwhile, the federal states, such as Saxony-Anhalt, are also open to considering suspending the debt brake at the federal level.

The coalition parties have been internally debating the long-term viability of declaring a budget emergency in 2023, relying on the Greens and SPD's support. By contrast, the FDP and CDU/CSU are opposed to suspending the debt brake due to increased tax revenues.

1. Finance Minister Christian Lindner is pushing for the approval of the supplementary budget to rectify the constitutional breaches.
2. The CDU parliamentary group's Mathias Middelberg has criticized the coalition for bypassing the debt brake in the past and has called on them to find savings through austerity measures before attempting to overstep the legal boundaries again.
3. The proposed austerity measures would likely involve revisiting the warming law and generating additional revenue, which could provide funds for the supplementary budget if necessary.
4. The CDU's Minister President in Schleswig-Holstein, Daniel Günther, has declared a budget emergency due to natural disasters, highlighting the internal disagreement within the CDU on the debt brake.
5. The federal states, such as Saxony-Anhalt, are also considering the possibility of suspending the debt brake at the federal level, but would first require the cooperation of the Greens and SPD to make this a viable solution.
6. Chancellor Olaf Scholz and Green Party parliamentary group leader Katharina Dröge admit to regret regarding the use of secondary budgets with the Economic Stabilization Fund and the Climate and Transformation Fund, which contributed to the debt breaches.

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The proposed supplementary budget aims to address budgetary shortfalls due to the Constitutional Court's ruling that nullified certain credit authorizations. Critics argue that the government had attempted to circumvent the debt brake during the COVID-19 crisis, borrowing to spend in the future.

The ruling has forced the government to reconsider their spending priorities and prioritize austerity measures, even as the economic growth rate for 2025 and 2026 remains low. Within the CDU, there are disagreements on how to reconcile fiscal conservatism with the need for economic aid.

Political challenges remain as the coalition parties must work together to fill the funding gap while maintaining social expenditure and making difficult decisions about subsidies and bureaucracy. Failure to reach a consensus could lead to further political instability.