Federal Government Cuts Funding for Daycare Centers by Half – Criticism of New Law

Saxony’s Minister of Education and Cultural Affairs, Conrad Clemens (CDU), has sharply criticized the draft of a new daycare law approved by the federal cabinet. Clemens called it a “setback for early childhood education in Germany.” “Cutting funding for municipal daycare centers in half stands in direct contrast to the political assurances made by Friedrich Merz, Lars Klingbeil, and Karin Prien,” Clemens told the German Press Agency in Dresden. 

The federal government wants to set new standards, such as a screening for four-year-olds, but at the same time is significantly reducing its support, the minister complained. “This law must not be enacted as is. The Free State of Saxony will do everything in its power to appeal to the Mediation Committee.”

According to the federal government’s plan, all children in Germany are to be tested for language and developmental skills at age four in accordance with uniform standards. If necessary, boys and girls are to receive special support to ensure a smoother transition to elementary school. This is part of the “Startchancen- und Qualitätsentwicklungsgesetz” (Start Opportunities and Quality Development Act), which the cabinet approved on Wednesday and which will now go to the Bundestag for deliberation. It is set to take effect gradually starting in 2027 and become fully operational in 2029.

Federal Government Cuts Funding in Half—Criticism Also from the Greens

According to the draft bill, the federal government will provide a total of 9.25 billion euros by 2034. Criticism was also voiced on Wednesday by Green Party education policy spokesperson Anja Reinalter. She criticized the fact that federal financial support is not increasing but rather shrinking: In 2025 and 2026, the federal government had allocated around 2 billion euros for early childhood education, but under the new law, that amount is expected to drop to about 1 billion euros per year. “The federal government is thus cutting back on early childhood education and halving federal funding,” said Reinalter.