Politics · Germany · 12 hrs ago
Merz calls for electricity tax cut for all consumers in Germany
Chancellor Friedrich Merz called for lower electricity tax for everyone in Germany at a CSU party conference in Munich.
He said the government should make the cut next year so people have more money left after paying energy bills.
The coalition had agreed to lower electricity prices, but so far tax relief has gone only to manufacturing, agriculture and forestry.
Finance Minister Lars Klingbeil says expected tax revenue is not enough to pay for a wider cut and wants proposals to include a funding plan.
Merz said he believes a cut can be made, while the government has not announced how it would be financed.
The disagreement is over who pays for the tax relief, as energy costs are a major pressure on household budgets.
The government’s next step is to decide whether and how to fund a cut for all consumers.
Friedrich Merz called for Germany to lower the electricity tax for all consumers next year.
He said the cut should leave people with more money, and added that he believed it was possible.
Finance Minister Lars Klingbeil said higher tax revenues would not be enough to pay for a cut.
The governing coalition had agreed to reduce electricity prices, but tax benefits so far have applied only to certain sectors.
Merz made his remarks in a speech at the CSU party conference in Munich.
- Who
- Chancellor Friedrich Merz called for the tax cut. Finance Minister Lars Klingbeil raised concerns about how to fund it.
- What
- Merz said the electricity tax should be lowered for all consumers.
- When
- Merz called for a cut next year, speaking on 24 October 2026.
- Where
- At the CSU party conference in Munich, Germany.
- Why
- Merz said the cut would leave people with more money. Klingbeil said proposals should also explain how the cut would be financed.
Friedrich Merz
Lars Klingbeil
Policy
Friedrich Merz
Merz said the electricity tax should be reduced for all consumers next year.
Lars Klingbeil
Klingbeil said expected higher tax revenues would not be enough to finance a cut.
Funding
Friedrich Merz
Merz said he believed a cut was possible.
Lars Klingbeil
Klingbeil said those proposing a cut should also say how it would be funded.
The coalition put a reform package in motion, according to WirtschaftsWoche.
Merz called for lowering the electricity tax for all consumers in a speech at the CSU party conference in Munich.
- Proposed change
- Lower electricity tax for all consumers
- Timing sought
- Next year
- Location
- Munich, Germany
- Current tax benefits
- Producing industry, agriculture and forestry
- Coalition agreement
- Reduce electricity prices in Germany
3 sources
What people are saying
If it is somehow possible, and I think it is, the electricity tax must come down so that people have more money in their pockets again.
Anyone making proposals now, such as cutting the electricity tax, should also bring proposals for how to finance it.