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Altmaier pushes for extended fuel discount and middle-class tax cuts

With oil prices volatile and households struggling, Altmaier warns of confusion without clear tax policies. Will Germany's coalition act to ease the financial squeeze?

The image shows an old German stock certificate issued by the German government, with text and a...
The image shows an old German stock certificate issued by the German government, with text and a stamp on it.

Altmaier pushes for extended fuel discount and middle-class tax cuts

Former German Economy Minister Peter Altmaier has urged the government to extend the fuel discount until global oil prices settle. He also called for broader tax reforms to support middle-income earners, families, and commuters. His comments came ahead of key coalition talks on tax policy and economic measures. Altmaier warned that unclear coalition decisions could create further confusion. He stressed the need for immediate clarity on tax policy, bureaucratic cuts, and social reforms to help German businesses.

On fuel costs, he argued the rebate should stay in place until crude oil prices return to a stable, affordable level. This would provide relief for drivers, particularly those who rely on cars for work. For long-term support, Altmaier proposed adjusting tax allowances for employees who commute by car. He also suggested a 5% to 10% tax cut for skilled workers and comparable employees, starting from January 1, 2027. While he did not expect major tax reform to be finalised in Tuesday’s talks, he hoped for progress on the skilled workers’ tax reduction. Altmaier added that recent policy missteps should serve as lessons. He urged lawmakers to act decisively rather than repeat past errors.

The proposals aim to ease financial pressure on workers and businesses amid rising costs. Altmaier’s push for extended fuel relief and targeted tax cuts reflects broader calls for economic stability. The outcome of the coalition talks will determine whether these measures move forward.

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