Tarnished Protections: Germany's Shifting Stance on Consumer Rights
Harsh Language, Feeble Strategies
The 2025 coalition agreement leaves consumer protection hanging by a thread, with shaky funding commitments and a decline in strategic influence.
By ‘Wolf' Brandes
Over the years, consumer protection has stood tall in Germany's political landscape, bolstered by independent powerhouses like consumer centers, VZBV, and Stiftung Warentest. Yet, the 2025 coalition agreement throws a wrench in the works: promises remain vague and structural support lacks punch. Absent in the deal are financial pledges to fortify central consumer organizations, a move that might leave advocacy groups - who see themselves as unpaid champions and the consumers' voice - disheartened.
Spotlight on Sustainability
Moving beyond consumer protection, the agreement paints a picture of a greener future, featuring a strong emphasis on sustainability and climate initiatives. Companies will face changes in ESG management, with the Supply Chain Due Diligence Act (LkSG) being replaced by the national transposition act relative to the EU Corporate Sustainability Due Diligence Directive (CSDDD). However, the LkSG won't disappear overnight; firms must continue to comply with existing laws as they await the implementation of the CSDDD law [5].
The agreement also puts forth a €500 billion infrastructure and climate neutrality fund. Although its main focus is climate and infrastructure, this fund could indirectly benefit consumer protection by nurturing eco-friendly practices and investments [4].
Broad Economic Policies
Moreover, the agreement outlines various economic and social policies, ranging from defense spending to European Union fiscal rules. These policies may have repercussions for consumer protection and overall financial stability [2].
For a closer look at funding commitments for consumer protection, one may need to delve into the full text of the coalition agreement or relevant German government documents.
In the 2025 coalition agreement, substantial financial pledges for fortifying central consumer organizations are not apparent, leaving advocacy groups concerned about their future role as unpaid champions for consumer rights.
Furthermore, while the infrastructure and climate neutrality fund's primary focus is climate and infrastructure, it could indirectly benefit consumer protection by fostering eco-friendly practices and investments.
