German CDU to offer voters tax cuts, immigration controls

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Germany’s conservatives will campaign in February’s snap election on a platform of tax cuts and tighter controls on illegal immigration, according to a draft manifesto seen by the Financial Times.

The 79-page document promises “new policies. . . that will ensure that Germany advances. And our promise is: we will make sure that happens.”

The manifesto, which will be formally released to the public on Tuesday, marks a surprising degree of continuity with Chancellor Olaf Scholz’s policies, especially on issues such as providing military support to Ukraine.

But on immigration, the Conservatives promise a much tougher approach than the outgoing government. “We must decide once again who comes to us and who can stay,” the manifesto said.

The Christian Democratic Union (CDU) and its Bavarian sister party, the Christian Social Union (CSU), often collectively referred to as the “Union”, are in pole position to win the election, having established a lead in polls over the others. matches.

Early elections became inevitable last month when Scholz pulled the plug on his ruling coalition of Social Democrats (SPD), Greens and Liberals.

Scholz, who leads a minority SPD-Greens government, will face a vote of confidence in the Bundestag on Monday that he is likely to lose; The president will then dissolve the legislature and schedule early elections.

Promising an “agenda for workers”, the draft CDU/CSU election program proposes income tax cuts for people with low and middle incomes, a reduction in social security contributions and a gradual reduction corporate tax to 25 percent, from around 30 percent now.

The parties also want to completely abolish “Soli”, an income tax surcharge that was first introduced in the 1990s to pay for German reunification, as well as restore fuel subsidies for farmers, reduce the added value in the hotel sector at 7 percent. percent (from the current 19 percent) and increase inheritance tax relief.

It is unclear how the Union plans to finance its tax breaks. He remains committed to the “debt brake,” Germany’s constitutional limit on new borrowing, which critics say imposes a straitjacket on government spending at a time when the country requires huge investments in defense, infrastructure and the transition. green.

“Today’s debts are tomorrow’s taxes,” the manifesto says.

Despite their often ferocious attacks on Germany’s benefits culture, they do not propose any major changes to the welfare state. They reject cuts to state pensions and any increase in the retirement age, although they advocate an “active pension” that would allow anyone working beyond retirement age to earn up to €2,000 a month tax-free.

They want to abolish the citizens’ money, or “citizens’ money,” the system of welfare payments to the poor that right-wingers say resembles universal basic income. They want to replace it with a “new basic insurance” that would be denied to those who reject job offers.

Unlike the Greens and the SPD, the CDU/CSU says nuclear energy should be an “option” for Germany and supports research into small modular reactors and nuclear fusion. They also propose repealing the ban on gasoline and diesel cars.

In terms of foreign policy, they say they are committed to the defense of Ukraine, which must be supported with “diplomatic, financial and humanitarian means, as well as arms supplies,” and to “reactivate our relations with France and Poland.”

The parties say Germany should spend a minimum of 2 percent of its GDP on the military, introduce a year of compulsory service for young people (although they stop short of calling for a return to conscription) and create a national security council with headquarters in the chancellery.

The Union also says that if it comes to power it will give law enforcement the ability to return migrants to the border as a means to “stop illegal immigration” and increase deportations of foreigners from German soil.

He also wants to see the introduction of a “third state model” in the EU whereby refugees would process their asylum claims outside the bloc and receive protection there.

The Conservatives would also repeal a law enacted by Scholz’s government that makes foreigners eligible for naturalization after living in the country for five years, and also allows dual citizenship.

“The German passport is placed at the end of the integration process, not at the beginning,” the manifesto says.