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Germany approves sweeping healthcare reform to avert €15B deficit crisis

A €15B shortfall pushed Berlin to act—but will stricter rules on treatments and budgets spark a backlash? The Bundestag showdown begins soon.

The image shows a poster with a drawing of a hospital in Germany, with a few buildings and text...
The image shows a poster with a drawing of a hospital in Germany, with a few buildings and text written on it. The buildings are depicted in detail, with intricate details such as windows, doors, and balconies. The text on the poster provides further information about the hospital, such as its size, location, and other features.

Berlin. The cabinet unanimously approved the healthcare reform, according to Deputy Government Spokesman Steffen Meyer, who spoke to the dts news agency on Wednesday.

Germany approves sweeping healthcare reform to avert €15B deficit crisis

There were no formal reservations recorded in the minutes, though several ministers were reportedly absent. Meyer declined to disclose details of the cabinet debate but noted that there had been "broad consensus" on this agenda item.

The reform is expected to face fierce opposition during parliamentary proceedings. It proposes capping spending increases in line with real revenue growth and restricting coverage to treatments with proven medical benefits.

Over the past weeks, the reform package has drawn sharp criticism from nearly all quarters—particularly from social welfare organizations, hospitals, and physicians. Many commentators argue that the pharmaceutical industry, by contrast, has emerged relatively unscathed.

Without the reform, Germany's statutory health insurance system is projected to run a deficit of €15 billion next year and up to €40 billion by 2030. The government aims to pass the package before the Bundestag's summer recess.

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