German Politics

GERMAN GOVERNMENT CRISIS

German Chancellor out-manoeuvres his troublesome finance minister

November 2024: In the end, German Chancellor Olaf Scholz, tired of the political tantrums of his liberal coalition partners, decided in favour of an end with horror rather than a horror without end for the current federal coalition government. After the liberal FDP (Free Democrats) refused to agree to a budget negotiated between them and the other two coalition partners, Social Democrats (SPD) and Greens, the SPD Chancellor dismissed the FDP Finance Minister Christian Lindner. Apart from Transport Minister Volker Wissing, the other two FDP ministers in the governing coalition then resigned from their posts.

 

The Chancellor now wants to continue governing at the head of a red-green minority government until mid-January 2025 and then call a vote of confidence. As he would probably lose this vote, there would then be nothing to prevent a new parliamentary election by the end of March 2025.

 

However, the SPD-Green government will need the approval of the largest opposition party, the conservative CDU (Christian Democrats). Talks are to begin immediately. However, CDU leader Friedrich Merz is insisting on new elections as early as January. Olaf Scholz rejected an early date because it would not leave enough time to get important laws through the Bundestag (parliament).

 

After the dissolution of the Bundestag, Germany would not be without political leadership. The Chancellor and his cabinet, except the FDP ministers, would remain in office. The same applies if it becomes difficult to form a new government after early elections.

 

The tasks of the three FDP cabinet members who have resigned or were dismissed (finance, justice, education) will be taken over by other cabinet ministers or the Chancellor will propose successors and have them appointed by the German President (Head of State).

 

The acute crisis was triggered by the Free Democrats's demand to reduce the tax burden on high earners and, at the same time, reduce some social benefits. Contrary to earlier coalition agreements, the FDP also demanded to replace national environmental goals with European ones.

 

 

Excerpts from a commentary by Sebastian Huld, N-TV

German Chancellor Olaf Scholz was greeted with enthusiastic applause at the special meeting of his Social-Democrat parliamentary group. For too long, SPD MPs suffered under the impression that the FDP finance minister, Christian Lindner, was leading Olaf Scholz around by the nose. There were doubts as to whether the Chancellor was even capable of controlling this unquestionably complicated three-party coalition. At least at its end, Scholz, a former labour lawyer and predecessor to Christian Lindner as finance minister, proved his worth: At the decisive moment, Scholz was the more experienced, more cunning tactician than FDP leader Lindner, who always thought himself as the cleverest member of the government.

 

Olaf Scholz and his Vice-Chancellor Robert Habeck, from the Green Party, decided not to allow the FDP to walk away from the government with their heads held high. For days, Scholz and Habeck appealed to everyone's responsibility to the country. Lindner fell into their trap: Scholz resorted to his prepared speech and vilified Lindner in front of the world press as an irresponsible, selfish, calculating trickster with no sense of honour or decency. The usually eloquent Lindner had no reply prepared. The FDP leader was duped. Lindner underestimated his boss - and left the government humiliated.

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