State ministers: the federal government should bear the costs of the housing benefit reform

Construction – Stuttgart : Ministers of the federal states: the federal government should bear the costs of the housing benefit reform

Construction - Stuttgart: The sun shines between two houses on the windows of apartments. Photo: Sebastian Gollnow/dpa/archive image
The sun shines on windows of apartments between two houses. Photo: Sebastian Gollnow/dpa/Archive image (Photo: dpa)

Directly from the dpa news channel

Stuttgart (dpa) – When it comes to financing the housing benefit reform as part of the third relief package, the states see the federal government as responsible. The planned increases in housing benefit and the expansion of the group of recipients led to additional costs of four billion euros, the building ministers of the federal states made clear on Friday at a conference in Stuttgart. The federal and state governments are currently sharing the cost of housing benefit. In the future, however, the aim should be for the federal government to assume all of the costs, according to a joint statement by the heads of department.

The traffic light coalition had agreed on the housing benefit reform at the beginning of September with the planned third relief package. According to a draft from the house of Federal Building Minister Klara Geywitz (SPD), a housing allowance increase of an average of 190 euros from January is planned. In addition, the circle of beneficiaries is to be significantly expanded. In addition to the previous 600,000 households, there will be up to 1.4 million more households whose income will now fall below the new housing benefit threshold. In the future, people who earn minimum wage or have a pension of a comparable amount should also receive housing benefit.

© dpa-infocom, dpa:220923-99-873098/4

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