The Federal Council approved the constitutional debt brake reform with a large majority, completing the legislative process begun earlier in the week. This enables billions in new government borrowing despite objections from Bavaria's Söder, who painted an "absurd" scenario for his state. Markets responded positively to the stability this provides.
Anti-terror police began investigating the Heathrow Airport closure after a fire and power outage paralyzed Europe's busiest airport, with reports of possible Russian involvement. The Budget Committee approved another billion-euro military aid package for Ukraine amid continuing Russian attacks.
Mercedes-Benz revealed severance packages up to €500,000 as German automotive industry struggles persist. Political tensions continued between the CDU and SPD in coalition negotiations, which stalled over tax and budget issues, requiring leadership intervention. The EU proposed a five-year plan to become militarily independent from the USA, preparing for Trump's potential NATO disengagement.