Housing benefit to increase by an average of 30 euros – 2024-07-25 23:14:25

by times news cr

2024-07-25 23:14:25

Not only supermarket prices, but also housing costs have risen significantly in recent years. Those who earn little can now hope for more support.

Citizens with low incomes are to receive a higher rent subsidy from the state next year. The reason is the price increase not only in the supermarket, but also in rent and energy costs. The monthly housing benefit is therefore to be increased by an average of 30 euros or 15 percent on January 1, 2025, the Ministry of Construction announced. “In this way, we ensure that no one has to choose between heating or food, for example, due to excessive housing costs,” emphasized Minister Klara Geywitz (SPD).

According to the law, the amount of housing benefit is reviewed every two years. The last reform took place in 2023. At that time, the circle of those entitled was also significantly expanded. The aim of housing benefit is to relieve employees and pensioners with little money so that they do not have to apply for citizen’s allowance or basic security because of high rents. The amount of housing benefit depends on the number of household members, income and rent.

The ministry expects that around 1.9 million households nationwide will be able to receive housing benefit next year. The increase is currently being agreed upon by the federal government. The Bundesrat must also approve it for it to come into force.

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