The German budget abolishes “citizens' income” (basic welfare support) and imposes sweeping social cuts to finance rearmament, war and tax handouts for the wealthy, while expanding precarious work and social insecurity for millions.
First, in Germany, governent does not “abolish basic welfare support”, as government has no such authority. Bundestag (parliament) passes laws, which government may propose. The federal budget is a law passed every year, outlining next year’s revenues and expenses. This article seems to discuss the federal budget. I should note: news about passing the budget is 1 month late, we read about it on November 28.
Also, this is quite a biased reading of this year’s federal budget. I would say it’s approximately 50% disinformation. Especially sentences like:
“These attacks on working people can only be understood in connection with the pro-war policy and Germany’s grasp for world power.”
Reality check: the neigbour of Germany’s neighbour is being invaded. War is occurring about 1000 km away and has the potential to arrive fast. Germany has been pursuing a policy of pacifism for decades. With the US, under Trump, showing disregard for international law and pressuring Ukraine instead of Russia, Germany has had a rude awakening and is indeed raising defense expenditure. Mostly by borrowing, because passing the bill directly to citizens would shock them.
The author, Marianne Arens, is from some small Troskyist political party. I’m not sure if she’s paid from Russia. She might be capable of writing in this style on her own. But I propose some more neutral sources:
For general context, quoting from the first source:
The federal budget for 2026, adopted by the Bundestag, envisages expenditure of €524.5 billion – €21.5 billion more than in 2025 (see ‘Germany’s budget: increased investment and debt’) – made possible by further increases in borrowing, which will rise by €98 billion next year. As in previous years, the largest share is allocated to social welfare benefits (mainly pension subsidies), accounting for 38% of total expenditure.
Quoting from the second source:
A draft of Germany’s federal budget for 2026 was agreed on in the early hours of Thursday by the government’s budget committee.
The total planned expenditure stands at €524.5 billion, which is €4 billion more than initially anticipated.
New borrowing will reach nearly €98 billion in the core budget, with overall new debt – factoring in special funds for defence and infrastructure – exceeding €180 billion.
My comment: when a state needs more revenue, raising taxes in unpopular. It’s easier to borrow. Especially if the special circumstance (named “Putin”) can be imagined to go away after some time.
A significant feature is the increase in aid to Ukraine, which will rise by €3 billion to €11.5 billion. Other notable allocations include €800 million in subsidies for climate-friendly home heating, and €50 million to support home renovations for the elderly and disabled – although this is less generous than a popular federal program it replaces.
My comment: since Trump stopped supporting Ukraine, European counties are moving to replace the US in that field. This costs actual money. Very little money. COVID relief cost about 800 billion for Europe. Supporting Ukraine costs about 100 billion per year. Germany is a big contributor with 11.5 billion this year.
The draft budget was finalised in a “reconciliation meeting” (Bereinigungssitzung) in which government leaders negotiate remaining disputes and amendments to the draft budget before it’s presented to the German parliament (Bundestag) for the final parliamentary vote. According to German media reports, in this case the meeting dragged on for 15 hours.
This step, scheduled for a session to take place at the end of November, is widely seen as a formality because the black-red coalition has enough seats to pass the budget on their own.
What does the budget mean for you?
For residents in Germany, the most immediate impacts of the latest changes will be felt in mobility, long-term care contributions and heating costs.
Climate-friendly home heating subsidies
From next year, €800 million will be available to help homeowners, companies and municipalities switch to climate-friendly heating systems.
Subsidies can cover 30 percent to 70 percent of installation costs, with extra bonuses for installing efficient heat pumps, replacing old systems early, and also for lower-income households.
Applications must be made via the KfW portal and require a contract with a specialist heating company.
My comment: I guess the subsidies for switching over to ecologically sustainable heating are the “handouts to the rich”. Good grief.
Social care
In a last-minute decision, an additional loan of €1.7 billion was approved for long-term care insurance on top of the €1.5 billion already planned, with the aim of preventing any increase in contributions for nursing care and health insurance at the start of next year.
Chancellor Friedrich Merz told the press that these contributions would remain stable.
The measure is intended to provide immediate financial relief for people reliant on social care, addressing concerns about rising costs and ensuring continued support for vulnerable groups.
My comment: they are borrowing to avoid people having to pay more. Having to pay more is incredibly unpopular everywhere. I guess this is “slashing” social security.
First, in Germany, governent does not “abolish basic welfare support”, as government has no such authority. Bundestag (parliament) passes laws, which government may propose. The federal budget is a law passed every year, outlining next year’s revenues and expenses. This article seems to discuss the federal budget. I should note: news about passing the budget is 1 month late, we read about it on November 28.
Also, this is quite a biased reading of this year’s federal budget. I would say it’s approximately 50% disinformation. Especially sentences like:
Reality check: the neigbour of Germany’s neighbour is being invaded. War is occurring about 1000 km away and has the potential to arrive fast. Germany has been pursuing a policy of pacifism for decades. With the US, under Trump, showing disregard for international law and pressuring Ukraine instead of Russia, Germany has had a rude awakening and is indeed raising defense expenditure. Mostly by borrowing, because passing the bill directly to citizens would shock them.
The author, Marianne Arens, is from some small Troskyist political party. I’m not sure if she’s paid from Russia. She might be capable of writing in this style on her own. But I propose some more neutral sources:
Germany: the 2026 budget and rising debt
What Germany’s 2026 federal budget means for you
For general context, quoting from the first source:
Quoting from the second source:
My comment: when a state needs more revenue, raising taxes in unpopular. It’s easier to borrow. Especially if the special circumstance (named “Putin”) can be imagined to go away after some time.
My comment: since Trump stopped supporting Ukraine, European counties are moving to replace the US in that field. This costs actual money. Very little money. COVID relief cost about 800 billion for Europe. Supporting Ukraine costs about 100 billion per year. Germany is a big contributor with 11.5 billion this year.
My comment: I guess the subsidies for switching over to ecologically sustainable heating are the “handouts to the rich”. Good grief.
My comment: they are borrowing to avoid people having to pay more. Having to pay more is incredibly unpopular everywhere. I guess this is “slashing” social security.