Germany’s Greens vetoed Free Democrat Finance Minister Christian Lindner’s plans to provide several billion euros of tax relief to companies to spur growth as the governing coalition’s junior partners resumed infighting over spending.
(Bloomberg) — Germany’s Greens vetoed Free Democrat Finance Minister Christian Lindner’s plans to provide several billion euros of tax relief to companies to spur growth as the governing coalition’s junior partners resumed infighting over spending.
The last-minute move by Family Affairs Minister Lisa Paus came a few weeks after the budget chief rejected her request for at least €7 billion ($7.6 billion) of additional money for child benefits, granting only €2 billion.
Lindner had expected the cabinet to pass the measures earlier on Wednesday and had scheduled a news conference to the measures at 1:30 p.m. local time.
Read more: Germany Plans Investment-Incentive Push Worth Annual €6 Billion
The conflict, which revives tensions following the summer break, is the latest in a series of spats between the Greens and the FDP within the coalition led by Chancellor Olaf Scholz’s Social Democrats.
The bickering began over plans to shut down nuclear power plants and reached a head over a law banning fossil-fuel boilers. The government has seen its support among voters decline, while the far-fight Alternative for Germany party has soared in the polls.
Asked about the bill at a separate news conference Wednesday, SPD Health Minister Karl Lauterbach said he was sure the cabinet would approve it on Aug. 30 at a special retreat in Meseberg.
He highlighted the complexity of the measures and said he expected the final result to be “a better law.”
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