The Budget Committee has approved a revised budget for 2026. “It’s easy to reach agreement if you give something to everyone,” said economist Monika Schnitzer.
11/14/2025 | 6:06 min
“Economic methods” Monika Schnitzer criticizes the decision of the black-red coalition to stimulate the economy. Deals like those recently reached in coalition committees are always easier to achieve when money is shared.
“And perhaps also for groups that don’t necessarily need it, but are really calling for this,” the economist said in the journal ZDF today, aiming, for example, at a reduction in aviation taxes or a planned reduction in VAT in the catering industry.
The chairman of the Overall Economic Development Assessment Expert Council, the official name for the committee of “economic wise men”, said further:
So, at this point you have to ask yourself why you are spending money on something like that. This will not speed up growth.
Monika Schnitzer, economist
Industrial electricity prices, reduced ticket taxes, gas-fired power plants: The EU and the SPD have agreed a number of measures in the coalition committee. The end of the combustion engine is still controversial.
11/14/2025 | 2:55 min
Schnitzer: “The budget plan is not very ideal”
Schnitzer advocates that ultimately there should be some cuts for everyone. “And if you distribute it fairly, then it will work. But of course that is a more difficult task.” According to Schnitzer, what is in the current budget plan is actually not ideal. Money also has to flow out at some point to be effective. “So in this case, this also really depends on accelerating planning and implementation.”
Some things in the budget plan are actually ineffective for growth. From an economist’s point of view, electricity taxes should be reduced for everyone:
We think about small businesses. Regarding electric mobility, for example, we also think that refueling and charging should become cheaper.
Monika Schnitzer, economist
Anyone providing charging stations and electricity is currently not benefiting from low electricity prices. “In this case, we are not going in the right direction at this time,” Schnitzer said. Investment should be made in network expansion: “These are sensible infrastructure measures and can then be easily justified through debt financing.”
The traffic light government has already raised it, the black and red want to lower the air traffic tax again. This is not the only traffic light project to be withdrawn.
11/14/2025 | 1:26 min
Ticket taxes are reduced – industrial electricity prices rise
The Black-Red Coalition wants to reduce ticket taxes in the aviation industry by July 1 2026. The amount is around 350 million euros for the benefit of the aviation industry in Germany. The airline industry has long called for a reduction in aviation taxes.
Lower, state-subsidized industrial electricity prices will also apply from January 1, 2026 to 2028.
Source: dpa, ZDF
