Healthcare Cuts: Chancellery Chief Frei Announces Reductions in Medical Benefits

The black-red coalition government led by Chancellor Friedrich Merz is intensifying efforts to stabilize social security systems through rigorous healthcare reforms. Thorsten Frei (CDU), Chief of the Federal Chancellery, has announced that certain medical services must be eliminated to ensure the long-term financial viability of the system. Frei argued that Germany maintains the world's most expensive healthcare infrastructure without achieving superior health outcomes compared to other nations, suggesting that targeted reductions would not necessarily compromise public health. These measures are supported by Federal Health Minister Nina Warken (CDU), who has characterized the current spending trajectory as unsustainable. This is reported by NewsToday24 editorial team, citing tagesspiegel.
Beyond benefit cuts, the government is focusing on streamlining patient pathways. Frei proposed a mandatory primary care model, where family doctors act as gatekeepers for specialist consultations to prevent inefficient self-referrals. This aligns with recommendations from Monika Schnitzer, chair of the German Council of Economic Experts, who advocated for increased co-payments and the reintroduction of a "practice fee," specifically targeting non-evidence-based services like homeopathy. Andreas Gassen, head of the National Association of Statutory Health Insurance Physicians (KBV), also proposed a "Practice Fee 2.0" to curb expenditures, which are projected to rise by 23 billion euros next year. Despite Chancellor Merz's previous assurances that insurance premiums would remain stable, major providers such as Techniker Krankenkasse (TK) and DAK-Gesundheit have already announced significant hikes in supplemental contributions for 2026, citing the insufficiency of the government's initial savings package.
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