Germany Pushes On With Plan to Overhaul Healthcare and Budget

Chancellor Friedrich Merz is experiencing plummeting approval ratings.Photographer: Odd Andersen/AFP/Getty Images

Germany agreed on a budget blueprint and prepared a healthcare overhaul as the governing coalition seeks to push forward a reform agenda in the face of energy upheaval and persistent infighting in Berlin.

Measures include steps to shore up public health insurers, spending cuts across ministries and new revenue sources such as a sugar levy. The government aims to close next year’s fiscal gap and halve the projected 2028 shortfall to about €30 billion, according to officials who laid out the plans on Tuesday. The plans are set for cabinet approval Wednesday.