Sat, 20 Jun 2026 Kyiv 15:50Berlin 14:50London 13:50 UKR / DE / EN

Housing Benefit: German Government Plans Major Cuts for Recipients

Federal Construction Minister Verena Hubertz (SPD) announced that one-third of current housing benefit households would lose their eligibility, affecting those just above the income threshold.

Housing Benefit: German Government Plans Major Cuts for Recipients
Photo: cdn.prod.www.spiegel.de

Federal Construction Minister Verena Hubertz (SPD) told the “Rheinische Post” that one-third of current housing benefit households would be completely excluded. This particularly affects people whose income previously made them just barely eligible. Hubertz explained that existing approvals would not be affected.

According to the Construction Ministry, housing benefit is usually granted for twelve months, and under certain circumstances for 24 months. After that, it must be reapplied for. Hubertz justified the planned cuts by saying the government must save due to multiple crises and a lack of economic growth.

The federal government must save one billion euros on housing benefit, and the states another billion. Of the previous roughly five billion euros from the federal and state governments, around three billion euros in annual spending would remain. According to the Federal Statistical Office, just over 1.2 million households received housing benefit in 2024.

The Left Party criticized the plan. “Again, the Merz government is cutting those who already have little,” said party leader Ines Schwerdtner to the “Rheinische Post.” She accused the government of failing to provide solutions for the dramatic situation on the housing market.

Source: www.spiegel.de