Former German Finance Minister Peer Steinbrück has advocated for comprehensive reforms to the nation’s social welfare system, signaling a surprising alignment with current government policy.
In remarks published Sunday, Steinbrück emphasized the necessity of modernizing the established social safety net. “Our social welfare system is undoubtedly a highly valued asset” he stated, “but its continued effectiveness hinges on increased efficiency”. He pointed to growing contributions to social insurance and the rising costs of publicly funded services as evidence that reform is unavoidable.
Steinbrück expressly supported the recently announced intention of Chancellor Friedrich Merz to re-evaluate the federal government’s social policy this autumn. “I believe it is correct and necessary for the Chancellor to make this a priority” he said. He voiced strong approval of proposals to consolidate responsibilities, integrate benefits and introduce standardized payments within the system, also advocating for the digital transformation of social administration.
The former North Rhine-Westphalia state premier and Social Democrat candidate for Chancellor also expressed support for a progressive increase in inheritance tax, as proposed by his former party. He suggested raising tax exemptions, implementing installment plans for business assets and dedicating any resulting additional revenue exclusively to education represent a reasonable approach to the issue.