Overview
- Leaders confirmed the Bürgergeld will be replaced by a new Grundsicherung with tougher cooperation duties and stepped penalties, up to a full cut of cash benefits for repeated missed Jobcenter appointments with hardship exceptions.
- The coalition outlined activation measures including mandatory early counseling and tighter rules on assets, with details presented by Chancellor Friedrich Merz and Labor Minister Bärbel Bas.
- An Aktivrente begins on January 1, 2026, allowing older employees to earn up to €2,000 tax‑free per month without a progressions effect, with an evaluation planned after two years.
- The government reaffirmed a €166 billion transport program, added about €3 billion for road projects, and earmarked €3 billion to help low‑ and middle‑income households switch to zero‑emission cars through a mobility program.
- Interior Minister Alexander Dobrindt moved to abolish the rarely used Turbo‑Einbürgerung and return to a five‑year residence rule for naturalization, as coalition figures remained split over the EU’s 2035 combustion‑engine ban.