Angela Merkel will make her sharpest political U-turn since becoming German Chancellor this week when her government unveils a €50bn (£44bn) package of tax cuts and incentives to protect Europe's biggest economy from deepening recession. The "Pact for Germany" programme contains a battery of tax cuts, health insurance reductions and special government funds designed to stimulate an economy forecast to contract by 3 per cent this year. The measures, expected to be agreed at a crisis cabinet meeting tomorrow, will be announced only weeks after Mrs Merkel's grand coalition government heaped scorn on Britain for "tossing around billions" in its efforts to tackle the credit crunch.
Angela Merkel will make her sharpest political U-turn since becoming German Chancellor this week when her government unveils a €50bn (£44bn) package of tax cuts and incentives to protect Europe's biggest economy from deepening recession.
The "Pact for Germany" programme contains a battery of tax cuts, health insurance reductions and special government funds designed to stimulate an economy forecast to contract by 3 per cent this year.
The measures, expected to be agreed at a crisis cabinet meeting tomorrow, will be announced only weeks after Mrs Merkel's grand coalition government heaped scorn on Britain for "tossing around billions" in its efforts to tackle the credit crunch.
Once again, they can dish it but can't take it. Bleh. Sinking is right. In the long run, we're all dead. John Maynard Keynes
