German welfare state 'can no longer be financed' — Merz

Deutshe Welle August 23, 2025

The German chancellor has called for a welfare reform, putting him on course for a possible clash with the SPD.

https://www.dw.com/en/german-welfare-state-can-no-longer-be-financed-merz/a-73742270



German Chancellor Friedrich Merz said tackling the country's economic challenges is proving to be a far greater undertaking than he initially anticipated.

Merz stated that Germany is in a "structural crisis of our economy" due to persistently high energy costs and US trade tariffs.

He pointed out that "large parts of our economy are no longer truly competitive" in terms of price competitiveness, despite having good quality.

https://www.bloomberg.com/news/articles/2025-08-23/merz-says-tackling-germany-s-economic-woes-tougher-than-expected


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