Threatens More Changes by Merz in Upcoming Reforms
In a significant speech on Wednesday, Federal Chancellor Friedrich Merz announced a series of far-reaching reforms aimed at addressing long-standing problems and improving the future of Germany. The reforms, which cover aspects of living together, working, doing business, and preserving values, are intended to stabilize social systems and establish a new consensus on what justice means.
The Chancellor emphasized the need for young people not to be unduly burdened and for the elderly to be able to retire in economic security. The planned reforms also include measures to strengthen memorial sites to continue remembering the Nazi era, the SED injustice, the peaceful revolution, the processing of German colonialism, and the NSU heritage.
Matthias Miersch, SPD parliamentary group leader, called for the reforms to be efficient and precise. He advocated for the wealthy to be taxed more heavily, but cautioned against measures against tax evasion, stating that a wealth tax is currently not realistic. Miersch also dampened expectations of a reform of the inheritance tax.
The debate also focused on alleged anti-Semitism in various contexts. Alexander Hoffmann, chairman of the CSU parliamentary group in the Bundestag, criticized the Left, claiming they want an "unjust state" and are selling "old muck in modern TikTok packaging." Katrin Göring-Eckardt, on the other hand, praised Germany's culture of remembrance and criticized the exclusion of the Munich Philharmonic Orchestra conducted by the Israeli conductor Lahav Shani by a Belgian organizer. She also highlighted increasing "silent anti-Semitism" in Germany, as evident in the fact that Jewish artists are booked less often.
The state lost 3.4 billion euros last year due to legal loopholes for the ultra-wealthy to avoid taxes on particularly high inheritances above a value of 26 million euros, according to Jan van Aken, co-chairman of the Left. He criticized the Union's rhetoric about the social state being unaffordable and accused them of looking for scapegoats instead of finding solutions.
The federal government plans to spend large amounts of money, with high borrowing being the main method of financing, mainly for the military and investments. The state will forgo tax revenues of 50 billion euros from companies to encourage investment and job creation.
The debate saw other Union politicians, State Secretary in the Ministry of Defense Siemtje Möller (SPD), and representatives of the Greens express similar views. The Left faction leader Heidi Reichinnek criticized the Union's approach to citizens' income, stating that the black-red coalition is planning an "autumn of social cruelty."
Currently, the parties represented in the government formation are the CDU/CSU and SPD forming a coalition with a combined total of 328 Bundestag members. Friedrich Merz (CDU) was elected Federal Chancellor on May 6, 2025, after the 2025 federal election.
Culture Minister Markus Weimer created an opportunity for Shani and the orchestra to perform in Berlin, according to Göring-Eckardt. Merz also warned that a peace dictated by Russia in Ukraine could encourage Russian President Vladimir Putin to seek new targets.
The reforms come at a critical time for Germany, as the country navigates complex issues of social justice, economic stability, and cultural identity. The Chancellor's commitment to addressing these challenges head-on promises a significant shift in the country's political landscape.
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