Germany Unveils Cost-Cutting Revamp as Healthcare Spending Soars

Germany’s government presented a plan to overhaul its healthcare system and slash a financing deficit expected to balloon to €40 billion ($47.2 billion) by the end of the decade, placing Europe’s No. 1 economy on firmer footing for growth.

Health Minister Nina Warken, a conservative ally of Chancellor Friedrich Merz, said policy action such as reining in payments, drug prices and coverage for dependents will aim to save almost €12 billion from next year, with further measures falling on employers and the insured to cover a €15 billion projected gap for 2027.