Politics · Germany · 11 hrs ago
Germany delays detailed plans for its new capital-funded pension
German Chancellor Friedrich Merz has changed the timetable for pension reform.
He had said the full reform would be ready for the cabinet by Christmas, and coalition lawmakers had aimed to pass the complete package by the end of 2026.
Now the coalition plans to set out the reform in two parts.
The changes to pension law are still due before Christmas, while the capital-market part will be limited to key points.
The detailed capital-funded pension plans are being pushed into next year.
The package was meant to put the recommendations of a pension commission into effect, following an agreement between Merz and former Labour Minister Bärbel Bas.
The reform will therefore not be fully set out by Christmas as first promised.
Germany’s coalition government has postponed detailed plans for a new capital-funded pension scheme until next year.
Chancellor Friedrich Merz said the capital-market part of the pension reform would be set out only in key points before Christmas.
The legal pension part is still expected to be finalized in substantial detail before Christmas.
The delay marks a change from earlier plans to pass the complete package through parliament by the end of 2026.
Labour Minister Alexander Schweitzer said his ministry’s draft legislation was 95 percent complete, while coalition partners continued seeking agreement.
- Who
- Chancellor Friedrich Merz and the governing coalition. Labour Minister Alexander Schweitzer is preparing the draft legislation.
- What
- The coalition has delayed detailed plans for a new capital-funded pension until next year, with only key points expected before Christmas.
- When
- The change was reported on November 4, 2026.
- Where
- Germany.
- Why
- The capital-market part of the reform is not being fully formulated before Christmas. The sources do not state a specific reason for the delay.
This story does not have two clearly opposing sides.
Merz said he was sure the complete pension reform would be put on its way before the end of the year.
Coalition parliamentary groups said the complete package should pass through the Bundestag by the end of 2026.
Merz said the capital-market part would be set out only in key points before Christmas.
Schweitzer said his ministry’s draft was 95 percent complete and that coalition partners were still seeking agreement.
- Draft legislation
- Schweitzer said it was 95 percent complete
- Capital-funded pension
- Detailed plans postponed until next year
- Before Christmas
- Capital-market part to be set out in key points
- End of 2026
- Earlier target for the complete package to pass through the Bundestag
2 sources
What people are saying
I am sure we will have it through the cabinet by Christmas
Nothing that is on the table gets better by staying on the table longer
The work on the draft law is 95 percent complete