Germany’s plan to roll back excessive bureaucracy is facing internal resistance — and may already be heading toward failure. According to government insiders, the much-touted effort to simplify administrative procedures and trim state costs has produced only modest savings so far.
The initiative, led by Digital Minister Karsten Wildberger (CDU), asked all ministries to propose measurable reductions in paperwork and regulation. But the compiled proposals reportedly amount to barely €300 million in potential savings, far below expectations. Within the coalition of Chancellor Friedrich Merz (CDU), officials had hoped for a figure well above €1 billion.
Resistance from within
Sources familiar with the discussions say the main obstacle lies inside the administration itself. Many ministries and senior civil servants are reluctant to shrink their own departments or relinquish control over long-established regulatory areas. As one insider put it, “few want to make their own empire smaller.”
Wildberger’s team, however, insists the current numbers are only a starting point. The government plans a special cabinet session on 5 November, dubbed the “Relief Cabinet”, to agree on a first package of easily implementable reforms. Longer-term measures are expected to follow in several waves.
Plans for deeper cuts
In the medium term, the digital minister aims for multibillion-euro savings through a broad restructuring of federal agencies and procedures. The strategy under discussion includes:
- Merging or closing departments with overlapping responsibilities
- Reducing reporting and supervisory obligations for companies
- Simplifying approval procedures for infrastructure and housing projects
- Introducing a “two-for-one” rule, under which two regulations must be removed for every new one introduced
If implemented, the government hopes to cut bureaucracy costs by 25 % – around €16 billion over the next few years. Ministers are already required to reduce staff numbers by 2 % per year as part of ongoing efficiency efforts.
Political risks
While the coalition promotes the plan as a step toward a “leaner, faster, more digital Germany,” analysts warn of political and administrative resistance. Many federal agencies and sub-agencies — there are over 1,000 nationwide — fear losing staff or influence.
Critics note that Germany’s bureaucratic complexity often stems from redundant layers of responsibility between federal, state, and municipal levels. Without clear political will, they argue, no amount of digitalization will meaningfully reduce the red tape burden.
Outlook
Chancellor Merz and Minister Wildberger have promised a binding policy paper outlining concrete milestones for deregulation and cost reduction. Yet insiders admit that presenting the current results as a success will be difficult. Unless the November cabinet meeting produces stronger commitments, the government’s flagship reform could turn into a symbolic flop — another case of Germany’s bureaucracy slowing down its own reform.
