Coalition negotiations between the Union and SPD are set to reveal results from their working groups by the evening of March 24, 2025, although unresolved contentious issues are likely to persist beyond this deadline.

Public support for easing the debt brake for defense spending is strong, with 64% approval among respondents across various political affiliations.

Heil emphasized the necessity for all parties to compromise for the greater good, underscoring the urgency of the current political climate.

Major disagreements have surfaced over tax policies, social policy, and irregular migration, particularly the SPD's push for legalizing abortions within the first twelve weeks.

While initial plans aimed for final decisions in the first week of April, CDU leader Friedrich Merz is advocating for completion by Easter, reflecting calls from SPD politicians for a swift resolution.

Union members are demanding concessions in exchange for agreeing to loosen the debt brake and support special assets, seeking a clear influence on migration and economic policy.

Conflict has arisen in the Interior and Migration working group, highlighting significant disagreements, particularly regarding proposed cuts to state benefits for certain asylum seekers.

Currently, the only agreed-upon point is to explicitly include the goal of limiting migration in the residence law, with further discussions needed on unresolved issues.

Despite ongoing tensions, the coalition talks have seen a breakthrough on finance, with the outgoing parliament passing a constitutional reform to increase defense spending and establish a €500 billion fund for infrastructure and climate protection.

Merz faces pressure to regain credibility on migration and social issues following the controversial approval of a special fund, which has eroded voter trust.

Decisions regarding ministerial structures and personnel will only be made after substantive issues are resolved, with speculation about integrating the Ministry of Development into the Foreign Office.

A working group focused on state modernization has reached consensus on the need to reform federal police laws and ensure secure regulations for IP address storage, as required by the EU.