London Daily

Focus on the big picture.
Friday, Jun 26, 2026

Germany's Likely Next Chancellor Puts Economy Before Climate Policies

Germany's Likely Next Chancellor Puts Economy Before Climate Policies

Conservative Friedrich Merz vows to prioritize industrial competitiveness over ambitious green energy goals, challenging Germany’s climate policies.
Germany’s likely next chancellor, Friedrich Merz, has pledged to shift focus away from aggressive climate policies and prioritize restoring the country’s industrial competitiveness.

Speaking in Bochum on Monday, Merz criticized the policies of the outgoing coalition government led by Chancellor Olaf Scholz, which heavily focused on climate protection.

The coalition, including Scholz's Social Democratic Party (SPD) and the Greens, had committed to phasing out coal by 2030, ahead of the official EU deadline, alongside an ambitious transition to renewable energy.

Merz, a member of the Christian Democratic Union (CDU), has expressed concerns over the decommissioning of coal and nuclear plants without viable replacements.

He emphasized the risks of such policies to Germany’s industrial base and vowed to reconsider the pace of the energy transition.

“Decommissioning what we have is out of the question unless we have reliable alternatives,” Merz stated.

As the CDU and their allies lead in the polls ahead of the February 23 elections, Merz faces the challenge of forming a coalition with the SPD or the Greens, given the far-right Alternative for Germany (AfD) is also gaining support.

Despite this, he ruled out any cooperation with the AfD.

Merz also questioned the feasibility of hydrogen-powered steel production, a key part of Germany’s green steel ambitions, and criticized the government's €2 billion investment in hydrogen-based technology for steelworks.

Instead, he suggested focusing on carbon capture technologies as a way to reduce emissions from industrial production.

The response from the Greens and SPD was swift.

Green Party candidate Robert Habeck countered Merz’s claims, arguing that steel produced with coal-fired power has no future in the global market.

SPD leaders warned that rolling back climate policies would undermine crucial investments and jobs in green industries.

With climate change policy at the heart of Germany’s political debate, Merz's stance marks a significant divergence from the outgoing government’s green agenda.

As the elections approach, the clash between economic priorities and climate ambitions will continue to shape the country’s future leadership.
Newsletter

Related Articles

0:00
0:00
Close
Robert Jenrick Defends £5 Million Donation to Nigel Farage Amid Political Scrutiny
Plymouth Museum The Box Wins 2026 Art Fund Museum of the Year Award
UK Government Faces Backlash Over Plans to Use Former Military Sites for Asylum Accommodation
Labour Party Faces Pressure Over Cabinet Stability as Senior Figures Clash on Policy Direction
Heathrow Airport Forecasts Passenger Decline in 2026 as Costs and Climate Disruption Mount
UK Energy Regulator Approves Expansion of Long-Duration Storage to Boost Power System Resilience
Crown Estate Reports Third Consecutive Year of £1 Billion Profit as Debate Over Royal Finances Intensifies
Teenager Charged With Murder in Wales Following Death of 14-Year-Old Boy
Nottingham University Hospitals Maternity Failures Trigger Calls for Public Inquiry Into Patient Safety
EasyJet Rejects £4.9 Billion Takeover Offer From Castlelake but Keeps Door Open for Further Talks
Record Heatwave Triggers UK Transport and Infrastructure Strain as Heathrow Revises Passenger Forecast Downward
Ofgem Approves Sixteen Long-Duration Energy Storage Projects to Strengthen UK Grid Stability
Labour Government Faces Internal Tensions Over Cabinet Decisions and Net Zero Policy Direction
British Food and Drink Exports Fall to Decade Low Amid Trade Friction and US Tariffs
Great Britain Grid Operator Spends £10 Million to Stabilize Electricity Supply During Heatwave Demand Surge
UK Parliament Committee Calls for Urgent National Adaptation Strategy as Extreme Heat Strains Public Infrastructure
Record-Breaking Heatwave Pushes England’s National Health Service to Critical Incident Status as Hospitals Struggle With Surge in Emergencies
UK Government Launches Review of Voluntary National Insurance Contributions System
UK Planning Inspectorate Reports Key Infrastructure and Planning Milestones in Annual Review
UK Government Reviews Travel Expense Reimbursement Rates for Employers and Employees
Civil Nuclear Constabulary Launches National Digital Memorial for Officers Killed in Service
UK and US Expand Collaboration on Nuclear Fusion Research and Workforce Exchange
Environment Agency Secures £275,000 Enforcement Deal with Anglian Water Over Permit Breaches
Independent Inspector Flags Ongoing Failures in UK Home Office Border Case Management
UK Government Considers Zero VAT Rate on Land for Social Housing Development
Bank of England Reports Sharp Drop in Emissions and Warns on Climate-Driven Financial Risk
Consumer Confidence in the UK Falls at Fastest Quarterly Rate Since 2022
UK Borrowing Costs Rise Sharply on Gilt Markets Amid Fiscal and Political Concerns
UK Government Plans Legislation to Bring British Steel into Public Ownership
UK Government Secures £210 Million Nuclear Fuel Deal to Support Ukraine Energy Security
London Ambulance Service Reports Record Emergency Call Volume Amid Severe Heatwave
United Kingdom Faces Record June Heatwave as Temperatures Hit 36.7°C in Somerset
UK Financial Services Reform Debate Intensifies Over Ministerial Regulatory Powers
UK Energy Price Cap Rise Expected to Keep Inflation Above Target Through 2026
UK Biohacking and AI Wellness Trends Drive Surge in Personal Health Monitoring
UK Social Care Sector Sees Workforce Shift as Overseas Recruitment Masks Domestic Labour Decline
Nuffield Trust Warns UK Health Budgets Remain Vulnerable Despite Record Spending Levels
UK Coal Pension Surplus Debate Returns to Parliament as Reform UK MP Seeks Clarity on Distribution
UK MPs Consider E-Petition Calling for NHS Newborn Screening for Spinal Muscular Atrophy
UK Parliament Debates E-Petition Calling for Inquiry Into Pro-Israel Influence in Politics
UK Economy Grew 0.6 Percent in Q1 2026 but Business Sentiment Weakens Over Geopolitical Risks
UK Financial Services Bill Enters Lords Committee Stage With Expanded Ministerial Powers
UK Armed Forces Bill Advances With Plans for Defence Housing Service and Drone Defence Measures
UK Treasury Proposes Higher Electricity Generator Levy and Updated Mileage Allowance Rules
UK Parliament Debates Health Bill Amid Persistent GP Access and Patient Satisfaction Concerns
UK Financial Sanctions Regulator Signals Faster, Intelligence-Led Enforcement Strategy
British Chambers of Commerce Warns Business Confidence Crisis Is Dampening UK Investment
UK Parliament Debates Carbon Budget Order as Pressure Mounts on Net Zero Delivery
UK Energy Price Volatility Reinforces Pressure for Faster Electrification of Economy
UK Defence and Aerospace Strategy Gains Momentum as Keir Starmer Pushes Industrial Cooperation in Berlin
×