Agreement on the 2027 federal budget: The real distribution battles are still to come

T he electricity tax is electrifying Germany: will it be reduced or not? The Chancellor and the black-red coalition have already promised a reduction twice for private households and small businesses - twice they have broken this promise. Even if people hardly feel the relief in the end - it's about 6 to 8 euros per month - the damage is great. Every child knows: “If you lie twice, you won’t be believed.”

It shouldn't be that difficult to find the necessary 5 billion euros in a 560 billion euro budget, right? The fact that the budget negotiations have so far failed to find the missing billions shows how small the scope in reality is and how big the distribution battles are becoming. The electricity tax is a warning sign for future disputes.

Because the gaps in the state coffers in the coming years will continue to grow. The Economic Advisory Council, the so-called economic experts, also pointed this out this week. They see a “need for action of historic proportions”.

The taz is an independent, left-wing and opinionated daily newspaper. We have been arguing in our comments, essays and debate texts since the taz was founded in 1979. We often cannot and do not want to agree on an opinion. That's why you'll find some completely opposing positions here - all part of the very broad left-wing spectrum of opinions.

One reason for this is that Germany and Europe have to take care of their own security. Germany is still financing its growing defense spending - next year it will be almost 140 billion euros - to a large extent through debt. The economists have now recommended reducing borrowing, which means either distributing the income differently - i.e. cutting somewhere - or levying additional taxes. Probably even both, which means that we don't expect any relief in the future, but rather additional burdens.

The coalition has long been thinking about increasing VAT. If it increases by 2 percentage points, the state would suddenly have 32 billion euros more. A nice cushion. But if people then have to spend more on butter and bread, clothes and gasoline, the question will become louder: Can we still afford the support for Ukraine, at least 100 billion euros since 2022?

We can and we must, but justifying this is becoming more difficult. Guaranteeing solidarity for Ukraine and investing in our own security will only succeed if solidarity in Germany is organized differently overall. Highly wealthy people must finally be taxed again and top earners must make a larger contribution.

The Union wants to prevent both at all costs and insists on reducing social spending. Even if she gets away with fleecing the needy alone, it won't be enough. Even economists believe that a further increase in the tax on the rich is conceivable. If only the poorer half of society pays more, not only the budget will change, but also the mood.