Germany’s coalition stands on a knife edge after Olaf Scholz fires finance minister

Germany’s coalition stands on a knife edge after Olaf Scholz fires finance ministerTrumpian vibe as Kemi Badenoch faces Keir Starmer in House of Commons

It follows a months-long standoff between Berlin’s three-way coalition over how to bridge a multibillion gap in the 2025 budget. Amid a continuing recession, Mr Lindner’s FDP-controlled finance ministry demanded austerity measures, tax cuts and an end to costly climate policies. The SPD backed Green proposals for debt-finance borrowing, stimulus measures and looser deficit rules.

The rupture laid bare, one last time, the fundamental ideological incompatibility of the three parties. For weeks, senior coalition officials admitted their respective ministers were no longer communicating, let alone governing. Concentrating minds on Wednesday evening was a new survey spelling out the cost of breaking up the coalition prematurely.

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