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Germany

Europe’s largest economy and largest population has lurched to the right. Friedrich Merz is on the conservative wing of the right of centre Christian Democratic Union (CDU). The Social Democratic Party (SPD) has been relegated to the number three slot for the first in post-war German history. But, more importantly, the far-right Alternativ fur Deutschland (AFD) is now firmly entrenched in the number two position.

Electoral success such as that enjoyed by the AfD in last weekend’s federal elections would normally ensure a place in a coalition government. Not in Germany, the mainstream parties have agreed to a firewall between themselves and the AfD that prohibits political cooperation between themselves and the AfD.

It was this firewall that was recently attacked as “undemocratic” by US Vice President JD Vance at the Munich Security Conference.

But then America does not have the burden of a Nazi past which many Germans fear the AfD threatens to resurrect. It favours remigration which many interpret as a mass deportation of immigrants. It is Euro-sceptic; anti-LGBTQ; pro-Russian; opposes sending military aid to Ukraine and is ambivalent about Germany’s Nazi past. Germany’s Committee for the Protection of the Constitution has designated the AfD as an “extremist right-wing” organisation which means it is being closely monitored by the police and security services.

But the AfD garnered 20.8 percent of the vote—double what it won in the previous federal election. The party—or at least its policies—cannot be disregarded, especially its position on immigration.

The traditional German mainstream parties—CDU/CSU, FDP, SPD and Greens—have tended to deal with the immigration issue by ignoring it. In the case of the CDU, Angela Merkel went further and declared that Germany had a moral responsibility to help refugees and in 2015 admitted more than a million and laid the foundations of a backlash.

The new soon-to-be Chancellor Merz is determined to win back AfD supporters by stealing some of their clothes and introducing tough anti-immigrant legislation.

The difficulty is that the AfD has positioned itself as the only party willing to talk about immigration and propose radical action to tackle the perceived problem. If Merz and the CDU position themselves in this space, they risk being perceived as a less authentic version of the AfD. Voters are convinced that the AfD cares passionately about limiting immigration. They may be less convinced that it is a genuine priority of the CDU.

United Kingdom

The famed British Welfare State is threatened by the American withdrawal from Europe and the resultant increase in defense spending.

In fact, social spending belts across Europe will need to tighten as money is poured into missiles, drones, tanks and howitzer shells to protect Western Europe from the Russian bear.

This week, British Prime Minister Sir Keir Starmer, announced that he was cutting overseas aid from 0.5 percent to 0.3 percent to pay for an increase in defense spending from 2.3 to 2.5 percent by 2027 and three percent by the end of the decade.

The cuts in aid will put $15 billion in the British exchequer which is enough to fund the increased spending up to 2.5 percent but not enough to go all the way to three percent. And, the fact is, that three percent is unlikely to be enough. American officials are talking about five percent across Europe if they want to keep Donald Trump happy and in NATO. And if the US abandons Europe as feared than defense costs will be much, much higher.

Britain, devotes 25 percent of GDP on welfare spending and another 10 percent of GDP on the NHS. Other European countries spend between 25 percent and 30 percent on social welfare. Funding structures for health services varies.