What is the Federal Government doing to grow the economy and secure jobs?

Growth booster for the economy:

Since 1 July, companies have been able to write off up to 30 percent of investments in machinery, vehicle fleets or business equipment. This applies to investments made by the end of 2027. Corporation tax will be gradually reduced from 2028, relieving the burden on companies and strengthening SMEs.

500 billion euros of public investment in infrastructure: After all, good roads, railway lines, schools and daycare centres are the basis for growth, employment and prosperity. 

With the High-Tech Agenda, we are strengthening Germany's innovation and competitiveness.

What is the Federal Government doing for good, modern infrastructure and climate protection?

Better infrastructure for a bright future:

we are using the 500 billion euro special fund to invest in better roads and railways, hospitals, schools, daycare centres and digitalisation. And we are accelerating the expansion of fibre optic and mobile networks.

We are investing 100 billion euros from the special fund in climate protection.

State-of-the-art technologies for climate protection:

we want to be able to capture and store the CO₂ emissions from industry and power plants that are difficult to avoid.

How is the German government reducing energy costs and bureaucracy?

Affordable energy: we are reducing energy costs for all consumers by 10 billion euros per year. Households that buy electricity and gas can save up to 150 euros a year on average.  

We promote electro-mobility: tax benefits for electric company cars purchased between 1 July 2025 and 31 December 2027. 

We are serious about cutting red tape: to get Germany moving forward again, we are making things simpler, faster and less bureaucratic – for example with the “housing construction turbo”, permits for wind turbines and public contracts. 

How can Germany become safer?

Managing migration: through more border controls and closer cooperation with EU partners, we are limiting uncontrolled migration and organising legal immigration. 

We are driving forward the fight against undeclared work by making the investigating authorities more effective and more digital. In this way, we can better protect people from exploitation and poor working conditions. 

How is the Federal Government strengthening social cohesion?

We are extending the rent freeze and promoting social housing construction to a record level with 23.5 billion euros until 2029. With the “housing construction turbo”, we are ensuring that construction can take place more quickly.

Secure your pension: with our first pension package, we are securing the pension level at 48 percent until 2031. We are closing an equity gap by implementing the Mothers' Pension III on 1 January 2027. And we are lifting the ban on joining the labour market for those who have reached the standard retirement age: those who continue to work voluntarily should be able to return to their previous employer more easily. This lays the foundation for the active pension.     

How can Germany once again become a strong partner to be taken seriously internationally?

Leadership in Europe: together with our partners, we are tackling the key challenges in Europe: security, competitiveness and migration.  

Strengthening defence: we want to be able to defend ourselves better so that we don't have to defend ourselves. That is why we want to invest 3.5 percent of gross domestic product in defence by 2029 and spend 1.5 percent on defence-related infrastructure, cyber security and intelligence services by 2035.  

Modernisation of the force: the Bundeswehr benefits from new financial rules. Procurement for the troops will be simplified and accelerated.  

The course is clear for us: we will continue at this fast pace – out of responsibility for Germany.