German Chancellor Friedrich Merz (CDU) is facing criticism from within his coalition, including from partner SPD, following his reluctance to provide swift additional relief for citizens and businesses. "I don't understand what the Chancellor is still waiting for," declared Mecklenburg-Western Pomerania's Minister-President Manuela Schwesig (SPD) on Thursday evening on platform X. "Citizens and the economy are already at their limit. We need quick relief now."
On Thursday, Merz indicated potential relief measures for citizens and businesses if energy and fuel prices continue to rise, though he refrained from announcing specific actions. Given the ongoing tense situation in the Gulf region, the Chancellor tempered expectations regarding the government's capacity to act: "We protect the citizens and businesses in Germany - but we cannot shield them from all disruptions in global markets."
Schwesig called for a reduction in energy taxes. "Additionally, we need a windfall profit tax and a price cap," she stated. However, Merz rejected such measures outright. He does not want "market interventions that lead to supply shortages," he said at the Chancellery. Merz referenced other European countries where "unsystematic price caps have led to corresponding supply shortages." The Chancellor did, however, show openness to increasing the commuter allowance from the current 38 cents to up to 45 cents per kilometer.
The Workers' Welfare Association (AWO) criticized this as socially unjust. While the commuter allowance increase supports people dependent on cars, "it only comes with the tax return and not now, when fuel prices are high," explained AWO President Michael Groß. Furthermore, it excludes those who cannot utilize the commuter allowance but are particularly affected by rising prices.
The Workers' Welfare Association called for "unbureaucratic, timely, and tangible relief" for people without or with low incomes, such as through a "butter bonus" - a one-time payment that would provide breathing room. Beyond that, long-term relief measures are needed, including consistent inflation adjustments in social benefits and income tax reforms.
Additionally, non-profit social institutions that also suffer from increased fuel prices, such as mobile care services, must receive targeted support, the AWO demanded.
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