Scholz Rules Out ‘Dismantling’ Welfare State in Budget Crisis

  • German leader expects agreement in ‘difficult’ budget talks
  • Also vows to push ahead with Ukraine aid, green transformation

Olaf Scholz speaks at party conference, in Berlin on Dec. 9.

Photographer: Bernd von Jutrczenka/dpa/Getty Images

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Chancellor Olaf Scholz told fellow Social Democrats he’s confident a deal can be reached in “very difficult” budget negotiations while ruling out cuts to social spending, green subsidies or military support for Ukraine.

Speaking to delegates at a party congress in Berlin on Saturday, Scholz promised that his coalition government will push ahead with billions of euros in investments to modernize Europe’s largest economy and maintain international competitiveness, even after a court ruling last month that upended its budget planning.