A leading figure within Germany’s parliamentary CDU/CSU group is advocating for increased federal funding to stabilize contributions to the long-term care insurance system. Jens Spahn, head of the CDU/CSU parliamentary group, has called for a two billion euro increase in federal subsidies to the care insurance fund.
Speaking to Focus magazine, Spahn emphasized that a key issue in the current budget discussions revolves around preventing contribution increases to the care insurance system, scheduled to take effect in January. He argues that the proposed increase in federal funding is necessary to maintain contribution rates at their current level, potentially avoiding a rise to 4.2 percent.
Spahn acknowledged that reaching a consensus on this matter within the governing coalition remains a challenge. He further cautioned that Germany’s overall social contribution rates already stand at 42.5 percent, expressing concern that placing further financial burden on employees and employers is unsustainable given the significant funding gap within the care insurance system. He believes addressing this shortfall through increased federal support is crucial to avoid further increases in social contributions.