Largest tax burden in Europe – “Contribution tsunami threatens”: There is criticism for Lauterbach’s contribution increase

The plans of Federal Health Minister Karl Lauterbach (SPD) for higher additional contributions from statutory health insurance companies have met with widespread criticism. The main concern here is that without reforms there is a risk of further increases in the coming years. “Basically, we need expenditure-reducing structural reforms in all branches of social insurance,” said Markus Jerger, chairman of the Federal Association of Small and Medium-Sized Enterprises (BVMW). “Germany can no longer afford a further increase in health insurance contributions.” Already now you have the largest duty and tax burden in Europe.

Lauterbach wants to increase the additional contribution by 0.3 percentage points


The Minister of Health announced on Tuesday that the average additional contribution in health insurance would probably increase by 0.3 percentage points in 2023. This is expected to bring in between 4.8 and 5 billion euros. The contribution increase should be part of a package of measures to cover a deficit of 17 billion euros in the statutory health insurance. There will be no cuts in performance.

The average additional contribution is currently 1.3 percent – the specific amount is determined by the insurance companies themselves. The total contribution of the insured includes the general rate of 14.6 percent of the gross salary.

To finance the billion deficit, which according to Lauterbach is higher than ever before, there should also be an additional federal grant of two billion euros and loans for the cash registers.

Lauterbach blames predecessor Spahn for billions in deficit


In addition, the reserves of the health fund and the individual funds are to be addressed. In addition, the pharmaceutical industry is to pay a solidarity levy of one billion euros.

Lauterbach said the federal government found the finances of statutory health insurance in a very difficult state. He essentially inherited the deficit from his predecessor Jens Spahn (CDU), and it hadn’t gotten bigger. He made “expensive service reforms” but refrained from necessary structural reforms.

Source and full report: https://california18.com/largest-tax-burden-in-europe-contribution-tsunami-threatens-there-is-criticism-for-lauterbachs-contribution-increase/5418662022/