Chancellor-in-waiting accused of taking part in ‘debt orgy’ after proposing loosening of rules to boost defence

Germany’s chancellor-in-waiting, Friedrich Merz, is facing a barrage of criticism from opposition politicians over his radical proposals to loosen rules on running up debt to allow for higher defence spending and boost the economy.

The CDU/CSU leader’s proposals for a multibillion-euro package, agreed with his potential coalition partners the Social Democrats, have been described as everything from a “bazooka” to “an extremely risky bet” by economists. He himself has called them vital “in light of the threats to our freedom and peace on our continent”.