A significant number of households receiving citizen’s income (Bürgergeld) in Germany experienced limitations in the reimbursement of their housing costs last year, according to a recent parliamentary inquiry. The Federal Government’s response, reported by “Der Spiegel”, indicates that an average of 334,000 households did not receive the full amount of their warm rent expenses.
Approximately 12.6% of all households benefiting from the basic security system faced partial rent reimbursement, resulting in an average shortfall of €116 per household.
German law mandates that “reasonable” accommodation costs, including cold rent, utilities and heating costs, are covered within the citizen’s income system. However, over 400 municipalities independently set cost ceilings. When housing expenses exceed these locally-determined limits, job centers are permitted to reimburse only up to the defined ceiling amount, requiring beneficiaries to cover the difference from their standard allowance – a situation often referred to as a “housing cost gap.
The standard allowance for single individuals currently stands at €563 per month. Among this group, 11.9% experienced this shortfall, averaging €96.99. Single parents faced a slightly higher rate, with 13.6% encountering an average cost gap of €130.95. Households with at least one child under six years old showed a rate of 12.2% and an average shortfall of €146.41.
The discussion has gained further prominence following remarks by Federal Chancellor Friedrich Merz, who mentioned the possibility of capping housing costs within the citizen’s income system. Frank Böttcher, head of the Duisburg job center, commented to “Der Spiegel” that such a de facto cap already exists, explaining his center’s practice of actively encouraging beneficiaries to seek more affordable housing options. The center adheres to a maximum reimbursement rate of €8.50 per square meter and imposes limits on living space, capping monthly rent for single individuals at €425. Any amount exceeding this must be covered from the standard allowance.
Left Party (Die Linke) MP Cansin Köktürk described the situation as a “scandal” for a country that considers itself socially responsible. She emphasized that the resulting gaps are being filled with funds meant for everyday necessities such as food, clothing and activities. Sahra Mirow, another Left Party MP, criticized the insufficient supply of affordable housing, arguing that the Federal Government must ensure that citizen’s income covers actual housing and energy costs until sufficient social housing becomes available.