Germany could live with Dutch Finance Minister Jeroen Dijsselbloem’s proposal to separate deliberations on a rescue fund from other aspects of a European Union bank-failure plan, said the parliamentary finance spokesman of Chancellor Angela Merkel’s party.
German Finance Minister Wolfgang Schaeuble pushed back against Deutsche Bank AG co-Chief Executive Officer Juergen Fitschen after he said the minister’s call to keep up vigilance of banks was “irresponsible.”
European Union governments are considering boosting the powers of national authorities in a planned common system for handling failing banks, and granting special treatment to smaller lenders, in a bid to tackle German opposition to key planks of the original blueprint.
German Chancellor Angela Merkel agreed to a national minimum wage and to increased spending on pensions and infrastructure while holding firm to her refusal to raise taxes in a coalition accord with the Social Democrats.
Europe’s biggest banks, led by Lloyds Banking Group Plc and Deutsche Bank AG, have racked up more than $77 billion in legal costs since the financial crisis, five times their combined profit last year.