Germany is taking moves to cut massive costs in its health care system. The system ­–  believed to be among the most expensive in the world –  is being affected by rising costs and the impact of an ageing population.

Chancellor Gerhard Schroeder is pushing regional health insurers to raise premiums payable by employees and companies up 1% to 15% of wages. He has also launched a low-key discussion forum involving health care experts – a cautious move designed to appease the medical lobby. This is regarded as a necessary move with a general election due next year.